Viatris Inc (VTRS)

Net profit margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands -634,200 54,700 2,078,600 -1,269,100 -669,900
Revenue US$ in thousands 14,739,300 15,426,900 16,262,700 17,886,300 11,946,000
Net profit margin -4.30% 0.35% 12.78% -7.10% -5.61%

December 31, 2024 calculation

Net profit margin = Net income ÷ Revenue
= $-634,200K ÷ $14,739,300K
= -4.30%

Based on the data provided, the net profit margin of Viatris Inc has shown fluctuations over the years.

In December 2020, the company had a net profit margin of -5.61%, indicating that for every dollar of revenue generated, the company incurred a loss of $0.0561. This suggests that the company's expenses exceeded its revenue during that period.

By December 2021, the net profit margin worsened to -7.10%, reflecting a further decline in profitability. This could be a concerning trend as the company continues to operate at a loss.

However, in December 2022, there was a significant improvement in the net profit margin, reaching 12.78%. This indicates that the company earned $0.1278 in net profit for every dollar of revenue generated, signaling a strong turnaround in profitability.

Subsequently, in December 2023, the net profit margin dropped to 0.35%, suggesting a decrease in profitability compared to the previous year. This could be a result of increased expenses or lower revenue.

Finally, by December 2024, the net profit margin decreased further to -4.30%, indicating a return to negative profitability. This suggests that the company faced challenges in maintaining profitability, possibly due to operational inefficiencies or other external factors.

Overall, the fluctuating net profit margin of Viatris Inc indicates variability in the company's ability to generate profits relative to its revenue over the years. It is essential for the company to closely monitor and address these fluctuations to ensure sustainable and consistent profitability in the future.