Timken Company (TKR)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 394,100 | 407,400 | 369,100 | 284,500 | 362,100 |
| Revenue | US$ in thousands | 4,645,100 | 4,435,900 | 4,063,400 | 3,454,700 | 3,732,400 |
| Net profit margin | 8.48% | 9.18% | 9.08% | 8.24% | 9.70% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $394,100K ÷ $4,645,100K
= 8.48%
Timken Co.'s net profit margin has shown fluctuations over the past five years. In 2023, the net profit margin decreased to 8.26% from 9.06% in 2022, and it was lower compared to 2021 when it was 8.93%. The lowest net profit margin was recorded in 2020 at 8.10%, showing a slight improvement in 2023.
The net profit margin indicates the company's profitability relative to its revenue. A higher net profit margin signifies efficient cost management and effective revenue generation. Timken Co. should continue to monitor and manage its expenses and revenue to improve its profitability in the future.
Peer comparison
Dec 31, 2023