Standard Motor Products Inc (SMP)

Net profit margin

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	34,148	35,647	37,834	47,823	55,351	66,112	81,316	89,332	90,886	81,366	85,941	69,766	57,393	59,737	45,863	54,328	57,917	49,719	50,717	47,230
Revenue (ttm)	US$ in thousands	2,701,423	2,718,401	2,708,286	2,722,422	2,715,865	2,739,824	2,720,702	2,687,356	2,595,396	2,259,260	2,206,048	2,017,497	1,972,331	1,930,845	1,858,027	1,971,543	2,030,255	2,035,973	2,014,034	1,977,475
Net profit margin		1.26%	1.31%	1.40%	1.76%	2.04%	2.41%	2.99%	3.32%	3.50%	3.60%	3.90%	3.46%	2.91%	3.09%	2.47%	2.76%	2.85%	2.44%	2.52%	2.39%

December 31, 2023 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $34,148K ÷ $2,701,423K
= 1.26%

Standard Motor Products, Inc. has shown a declining trend in net profit margin over the past eight quarters. The net profit margin decreased from 6.64% in Q1 2022 to 2.51% in Q4 2023. This indicates that the company's profitability has been gradually decreasing over this period. The decreasing trend in net profit margin may raise concerns about the company's ability to manage costs effectively or maintain revenue growth. It is essential for the company to closely monitor and address the factors impacting profitability to improve overall financial performance.