Viad Corp (VVI)

Net profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	16,017	23,220	-92,655	-374,094	22,035
Revenue	US$ in thousands	1,206,610	1,135,550	488,274	412,106	1,358,970
Net profit margin		1.33%	2.04%	-18.98%	-90.78%	1.62%

December 31, 2023 calculation

Net profit margin = Net income ÷ Revenue
= $16,017K ÷ $1,206,610K
= 1.33%

The net profit margin of Viad Corp. has fluctuated significantly over the past five years. In 2023, the net profit margin was 0.50%, indicating that the company generated a net profit of 0.50 cents for every dollar of revenue. This represents a decrease from the previous year when the net profit margin was 0.98%.

In 2021, the company experienced a significant decline in profitability, with a negative net profit margin of -20.14%. This suggests that Viad Corp. incurred more expenses than it generated in revenue during that period. The sharp decrease from the positive net profit margin of 1.50% in 2019 to the negative figure in 2021 indicates a substantial deterioration in financial performance.

The most notable decline in net profit margin occurred in 2020, when the company reported a net profit margin of -91.00%. This exceptionally low profitability figure suggests significant financial challenges and possibly one-off events impacting the company's bottom line during that year.

Overall, Viad Corp.'s net profit margin has been volatile, with fluctuations reflecting changes in the company's financial performance and efficiency in generating profits. It is essential for the company to closely monitor and address factors contributing to such fluctuations to ensure sustained profitability and financial health.