YETI Holdings Inc (YETI)
Net profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 175,689 | 169,885 | 89,693 | 212,602 | 155,801 |
| Revenue | US$ in thousands | 1,829,870 | 1,658,710 | 1,595,220 | 1,410,990 | 1,091,720 |
| Net profit margin | 9.60% | 10.24% | 5.62% | 15.07% | 14.27% |
December 31, 2024 calculation
Net profit margin = Net income ÷ Revenue
= $175,689K ÷ $1,829,870K
= 9.60%
The net profit margin is a critical financial metric that indicates the percentage of revenue that translates into net income after all expenses have been deducted. Analyzing the net profit margin of YETI Holdings Inc based on the provided data reveals fluctuations over the years.
As of December 31, 2020, YETI Holdings Inc had a net profit margin of 14.27%. This indicates that for every dollar of revenue generated, the company retained $0.1427 as net income after accounting for all expenses.
By December 31, 2021, the net profit margin had improved to 15.07%, showcasing an increase in profitability. The company's ability to convert revenue into net income had strengthened, reflecting positively on its operational efficiency.
However, the trend changed in the subsequent years. By December 31, 2022, the net profit margin had decreased to 5.62%, signaling a significant decline in profitability. The company's ability to generate net income relative to its revenue had diminished, which could be attributed to various factors such as increased expenses or a slowdown in revenue growth.
The net profit margin saw a partial recovery by December 31, 2023, standing at 10.24%. This improvement indicates that YETI Holdings Inc took measures to enhance its profitability, though it had not yet reached the levels seen in 2021.
As of the latest data available by December 31, 2024, the net profit margin was recorded at 9.60%. This figure suggests that YETI Holdings Inc continues to focus on optimizing its cost structure and operational efficiency to generate a reasonable level of net income relative to its revenue.
In conclusion, the analysis of YETI Holdings Inc's net profit margin highlights fluctuations in profitability over the years. While the company experienced periods of both growth and decline in its ability to convert revenue into net income, it is essential for stakeholders to monitor these trends and assess the effectiveness of management strategies in maintaining and enhancing profitability over time.
Peer comparison
Dec 31, 2024