Tandem Diabetes Care Inc (TNDM)

Net profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	-222,611	-94,594	15,566	-34,382	-24,753
Revenue	US$ in thousands	735,632	795,009	696,759	486,025	362,227
Net profit margin		-30.26%	-11.90%	2.23%	-7.07%	-6.83%

December 31, 2023 calculation

Net profit margin = Net income ÷ Revenue
= $-222,611K ÷ $735,632K
= -30.26%

The net profit margin of Tandem Diabetes Care Inc has displayed fluctuations over the past five years. In 2019 and 2020, the company experienced negative net profit margins of -6.83% and -6.89% respectively, indicating that its expenses exceeded its revenues during those periods. However, in 2021, the company managed to achieve a positive net profit margin of 2.21%, reflecting its ability to generate profits relative to its total revenues.

Subsequently, in 2022, the net profit margin improved further to -11.81%, yet it remained negative. However, there was a substantial decline in the net profit margin in 2023, with it plummeting to -29.77%. This significant decrease could suggest challenges that the company faced in managing costs and generating profits relative to its revenue in that particular year.

Overall, the negative trend in the net profit margin of Tandem Diabetes Care Inc over the past two years raises concerns about its profitability and efficiency in controlling costs. Investors and stakeholders may want to investigate the underlying reasons for these fluctuations and assess the company's strategies for improving profitability in the future.