Standard Motor Products Inc (SMP)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 27,500 | 34,148 | 55,351 | 90,886 | 80,417 |
| Revenue | US$ in thousands | 1,463,850 | 1,358,270 | 1,371,820 | 1,298,820 | 1,128,590 |
| Net profit margin | 1.88% | 2.51% | 4.03% | 7.00% | 7.13% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $27,500K ÷ $1,463,850K
= 1.88%
Standard Motor Products Inc's net profit margin has shown a downward trend over the past five years, indicating a decrease in profitability. The net profit margin, which represents the percentage of revenue that translates into profit after all expenses are deducted, was at 7.13% in December 31, 2020. However, it decreased to 7.00% by December 31, 2021, and further declined to 4.03% by December 31, 2022. The trend continued with a net profit margin of 2.51% on December 31, 2023, and 1.88% on December 31, 2024.
The decreasing net profit margin suggests that Standard Motor Products Inc may be facing challenges in controlling its costs or generating sufficient revenue to maintain profitability. This trend warrants further investigation into the company's operational efficiency, pricing strategies, cost management, and overall financial performance. Investors and stakeholders may monitor these financial indicators closely to assess the company's profitability and sustainability in the long run.
Peer comparison
Dec 31, 2024