Sitime Corporation (SITM)

Net profit margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Net income (ttm)	US$ in thousands	-93,601	-94,785	-93,595	-92,748	-80,534	-62,064	-38,156	625	23,255	44,641	52,818	41,982	32,277	14,409	-218	-7,844	-9,372	-10,730	-8,984	-8,830
Revenue (ttm)	US$ in thousands	202,697	176,989	154,811	138,673	143,994	162,431	200,006	251,696	283,606	298,507	288,441	253,519	218,808	183,341	152,979	129,956	116,156	103,971	96,629	90,999
Net profit margin		-46.18%	-53.55%	-60.46%	-66.88%	-55.93%	-38.21%	-19.08%	0.25%	8.20%	14.95%	18.31%	16.56%	14.75%	7.86%	-0.14%	-6.04%	-8.07%	-10.32%	-9.30%	-9.70%

December 31, 2024 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $-93,601K ÷ $202,697K
= -46.18%

Sitime Corporation's net profit margin has displayed significant fluctuations over the period from March 31, 2020, to December 31, 2024. The company experienced negative net profit margins for most of the initial period, suggesting operational inefficiencies and challenges in generating profits relative to its revenue. However, from September 30, 2021, the net profit margin started to improve substantially, reaching a peak of 18.31% on June 30, 2022.

Despite this positive trend, the net profit margin began declining again, dropping to 0.25% by March 31, 2023, and turning negative in the subsequent quarters. This downward trend continued through December 31, 2024, with the net profit margin consistently in the negative territory, reaching a low of -46.18%.

The decreasing net profit margins indicate that Sitime Corporation may be facing challenges in controlling its costs and expenses or experiencing declines in revenue relative to its costs. Investors and stakeholders may need to closely monitor the company's financial performance and management strategies to reverse this negative trend and improve profitability in the future.