Transdigm Group Incorporated (TDG)
Net profit margin
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 1,714,000 | 1,661,000 | 1,551,000 | 1,452,000 | 1,298,000 | 1,149,000 | 1,036,000 | 931,000 | 866,000 | 809,000 | 888,000 | 793,000 | 680,000 | 553,000 | 230,000 | 445,000 | 699,000 | 964,000 | 1,115,000 | 998,000 |
| Revenue (ttm) | US$ in thousands | 7,940,000 | 7,606,000 | 7,304,000 | 6,977,000 | 6,585,000 | 6,243,000 | 5,897,000 | 5,632,000 | 5,429,000 | 5,198,000 | 5,018,000 | 4,885,000 | 4,799,000 | 4,693,000 | 4,497,000 | 4,746,000 | 5,103,000 | 5,471,000 | 5,970,000 | 5,695,000 |
| Net profit margin | 21.59% | 21.84% | 21.23% | 20.81% | 19.71% | 18.40% | 17.57% | 16.53% | 15.95% | 15.56% | 17.70% | 16.23% | 14.17% | 11.78% | 5.11% | 9.38% | 13.70% | 17.62% | 18.68% | 17.52% |
September 30, 2024 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $1,714,000K ÷ $7,940,000K
= 21.59%
The net profit margin of Transdigm Group Incorporated has shown a generally positive trend over the periods under review. The company's net profit margin, a key profitability ratio, indicates the percentage of revenue that translates into net income after accounting for all expenses.
From December 2019 to September 2024, the net profit margin has fluctuated between 5.11% and 21.84%, with an overall increasing trajectory. The company's ability to generate earnings relative to its revenue has improved significantly, reaching a peak of 21.84% in June 2024.
The consistent upward trend in the net profit margin reflects the company's effective cost management, revenue growth, and operational efficiency. It is important to note that the net profit margin dipped in the first half of 2021 but subsequently rebounded, indicating potential challenges that were effectively addressed by the management.
Overall, Transdigm Group Incorporated has demonstrated a healthy and improving profitability performance over the analyzed periods, suggesting effective financial management and operational effectiveness.