Sempra Energy (SRE)

Net profit margin is a key financial ratio that reflects the percentage of revenue that translates into net income after all expenses have been deducted. Looking at the trend for Sempra Energy over the past five years, the net profit margin has demonstrated fluctuating performance.

In December 2020, the company achieved a robust net profit margin of 33.10%, indicating that for every dollar of revenue generated, 33.10 cents remained as net income. However, there was a significant decline in profitability in December 2021, with the net profit margin dropping to 10.25%. This may suggest increased costs or lower revenue relative to the previous year.

Subsequently, there was a slight improvement in the net profit margin in December 2022, rising to 14.81%, indicating some recovery in profitability. The trend continued positively in December 2023, with the net profit margin further increasing to 18.39%, signifying an enhanced ability to convert revenue into net income.

The most recent data point shows a notable improvement in December 2024, with the net profit margin reaching 21.71%. This suggests that Sempra Energy has been able to efficiently manage its expenses and generate higher net income relative to revenue, reflecting positively on the company's overall financial health.

Overall, while there have been fluctuations in performance, the upward trend in net profit margin indicates a potential strengthening of Sempra Energy's profitability and operational efficiency over the analyzed period.

Peer comparison

Dec 31, 2024