Terex Corporation (TEX)
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 | 518,100 | 483,400 | 446,000 | 360,700 | 300,000 | 266,600 | 232,900 | 232,700 | 220,900 | 179,800 | 137,500 | 54,400 | -10,600 | -3,800 | 11,800 | 96,100 | 54,400 | -3,100 | 14,100 | -3,200 |
| Revenue (ttm) | US$ in thousands | 5,151,500 | 5,146,500 | 4,976,900 | 4,650,900 | 4,417,700 | 4,190,200 | 4,063,500 | 4,025,100 | 3,886,800 | 3,683,400 | 3,455,200 | 3,107,000 | 3,076,400 | 3,174,700 | 3,433,700 | 4,050,100 | 4,353,100 | 4,093,400 | 4,297,300 | 4,243,400 |
| Net profit margin | 10.06% | 9.39% | 8.96% | 7.76% | 6.79% | 6.36% | 5.73% | 5.78% | 5.68% | 4.88% | 3.98% | 1.75% | -0.34% | -0.12% | 0.34% | 2.37% | 1.25% | -0.08% | 0.33% | -0.08% |
December 31, 2023 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $518,100K ÷ $5,151,500K
= 10.06%
Net profit margin measures the percentage of revenue that translates into profit after all expenses have been deducted. In the case of Terex Corp., the net profit margin has shown a generally upward trend over the past eight quarters. The company's net profit margin improved from 5.78% in Q1 2022 to 10.06% in Q4 2023, indicating enhanced efficiency in cost management and/or revenue growth.
This progression suggests that Terex Corp. has been effectively controlling its expenses or steadily increasing its revenue during this period. A rising net profit margin is generally viewed positively by investors and stakeholders as it reflects the company's ability to generate profit from its operations. It can also indicate increasing operational efficiency and a strong financial performance.