WEC Energy Group Inc (WEC)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,524,300 | 1,332,900 | 1,409,300 | 1,301,500 | 1,201,100 |
| Revenue | US$ in thousands | 8,599,900 | 8,893,000 | 9,597,400 | 8,316,000 | 7,241,700 |
| Net profit margin | 17.72% | 14.99% | 14.68% | 15.65% | 16.59% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $1,524,300K ÷ $8,599,900K
= 17.72%
Net profit margin is a key financial metric that reflects a company's profitability by indicating the percentage of revenue that translates into net income after accounting for all expenses. Analyzing WEC Energy Group Inc's net profit margin trend from 2020 to 2024, we observe a slight decline from 16.59% in 2020 to 15.65% in 2021, followed by a further decrease to 14.68% in 2022. Despite a small upturn to 14.99% in 2023, the most recent data point for 2024 shows a significant improvement to 17.72%.
The fluctuation in net profit margin over the years may be influenced by various factors such as changes in operating expenses, revenue growth, cost management strategies, or one-time exceptional items impacting net income. The increase in net profit margin in 2024 could be attributed to effective cost control measures, higher revenue generation, improved operational efficiency, or strategic initiatives that positively impacted the bottom line.
It is essential for stakeholders to monitor the trend in net profit margin as it provides insights into the company's financial health, efficiency in cost management, and overall profitability. While the recent uptick in net profit margin in 2024 is a positive sign, continued analysis and comparison with industry peers are necessary to assess WEC Energy Group Inc's performance and identify areas for improvement.
Peer comparison
Dec 31, 2024