Semtech Corporation (SMTC)

Net profit margin

		Jan 28, 2024	Jan 29, 2023	Jan 30, 2022	Jan 31, 2021	Jan 26, 2020
Net income	US$ in thousands	-1,092,030	61,380	125,664	59,903	31,871
Revenue	US$ in thousands	772,240	763,171	735,908	589,413	538,320
Net profit margin		-141.41%	8.04%	17.08%	10.16%	5.92%

January 28, 2024 calculation

Net profit margin = Net income ÷ Revenue
= $-1,092,030K ÷ $772,240K
= -141.41%

The net profit margin of Semtech Corporation has fluctuated over the past five years. In fiscal year 2020, the net profit margin was 5.92%, which increased to 10.16% in fiscal year 2021, representing a positive trend. Subsequently, in fiscal year 2022, the net profit margin further improved to 17.08%, indicating strong profitability. However, in the most recent fiscal year 2023, the net profit margin decreased to 8.04%, indicating a slight decline in profitability. Notably, in the latest fiscal year 2024, the net profit margin registered a negative value of -141.41%, which is a significant reduction and raises concerns about the company's financial performance. It is essential for Semtech Corporation to closely monitor and address the factors contributing to this substantial decline in net profit margin to sustain and enhance its profitability in the future.