Zimmer Biomet Holdings Inc (ZBH)

Net profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	1,024,000	231,400	401,600	-138,900	1,131,600
Revenue	US$ in thousands	7,171,400	6,780,400	7,459,000	6,789,700	7,751,900
Net profit margin		14.28%	3.41%	5.38%	-2.05%	14.60%

December 31, 2023 calculation

Net profit margin = Net income ÷ Revenue
= $1,024,000K ÷ $7,171,400K
= 14.28%

The net profit margin of Zimmer Biomet Holdings Inc has displayed fluctuating trends over the past five years. In 2019, the company achieved a robust net profit margin of 14.18%, which indicated a strong profitability level. However, the profitability declined significantly in 2020, with a negative net profit margin of -1.98%, indicating that the company incurred losses during that year.

Subsequently, there was a notable recovery in profitability in 2021, with a net profit margin of 5.12%. This improvement suggests that Zimmer Biomet Holdings Inc successfully managed its cost structure or increased its revenue generation in that year. The positive momentum continued in 2022, where the net profit margin further increased to 3.33%.

The most recent data for 2023 reveals a notable improvement in profitability, with a net profit margin of 13.85%. This substantial increase suggests that the company significantly enhanced its profitability compared to the previous year. Overall, although Zimmer Biomet Holdings Inc experienced fluctuations in its net profit margin over the years, the recent uptrend indicates positive developments in the company's profitability performance.