Texas Instruments Incorporated (TXN)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 4,799,000 | 6,510,000 | 8,749,000 | 7,769,000 | 5,595,000 |
| Revenue | US$ in thousands | 15,641,000 | 17,519,000 | 20,028,000 | 18,344,000 | 14,461,000 |
| Net profit margin | 30.68% | 37.16% | 43.68% | 42.35% | 38.69% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $4,799,000K ÷ $15,641,000K
= 30.68%
Texas Instruments Incorporated has shown a consistent improvement in its net profit margin over the years, starting at 38.69% as of December 31, 2020, and reaching a peak of 43.68% as of December 31, 2022. This upward trend indicates strong operational efficiency and effective cost management during this period. However, there was a slight decline in net profit margin to 37.16% as of December 31, 2023, followed by a more significant decrease to 30.68% by December 31, 2024.
The decrease in net profit margin in 2024 may raise some concerns, suggesting a potential decrease in profitability relative to revenue. It could be indicating factors such as increased costs, pricing pressures, or changes in the business environment that could impact the company's profitability. Further analysis of the company's financial performance and operational strategies would be necessary to understand the reasons behind this decline and to assess its potential implications for the company's financial health and future prospects.
Peer comparison
Dec 31, 2024