Stericycle Inc (SRCL)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -21,400 | 56,000 | -27,800 | -57,300 | -346,800 |
| Revenue | US$ in thousands | 2,591,300 | 2,718,000 | 2,646,700 | 2,548,200 | 3,176,400 |
| Net profit margin | -0.83% | 2.06% | -1.05% | -2.25% | -10.92% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $-21,400K ÷ $2,591,300K
= -0.83%
Net profit margin is a key profitability ratio that indicates the percentage of revenue that translates into net income after all expenses have been deducted. Analyzing Stericycle Inc.'s net profit margin over the past five years reveals fluctuations in the company's ability to generate profits efficiently.
In 2019, Stericycle Inc. reported a significantly low net profit margin of -10.48%, indicating that the company incurred substantial expenses relative to its revenue, resulting in a loss. However, there was an improvement in 2020 when the net profit margin slightly recovered to -2.14%, although it remained negative.
The performance of Stericycle Inc. improved notably in 2021 when the net profit margin decreased to a slightly negative -1.05%, suggesting more efficient cost management compared to the previous year. The trend continued in 2022, with the net profit margin further increasing to a positive 2.07%, signaling a return to profitability and improved operational efficiency.
However, in 2023, Stericycle Inc.'s net profit margin experienced a decline to -0.80%, indicative of a reduction in profitability compared to the prior year. This decrease may be a result of various factors, such as increased expenses or lower revenues relative to costs.
Overall, the fluctuation in Stericycle Inc.'s net profit margin over the past five years highlights the company's efforts in managing costs, increasing revenues, and ultimately improving profitability. Further analysis of the underlying factors contributing to these fluctuations would provide valuable insights into the company's financial performance and future prospects.
Peer comparison
Dec 31, 2023