Zimmer Biomet Holdings Inc (ZBH)

Net profit margin

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	1,024,000	474,300	505,600	449,700	231,400	277,900	229,500	217,700	401,600	819,300	916,200	567,700	-138,900	-151,900	36,700	377,000	1,131,600	-90,200	-359,100	-307,800
Revenue (ttm)	US$ in thousands	7,171,500	7,054,100	6,993,800	6,933,800	6,780,400	6,827,800	7,061,000	7,290,300	7,452,200	7,716,200	7,722,600	6,923,200	6,840,900	6,881,300	6,840,200	7,596,700	7,805,400	7,750,700	7,677,500	7,646,100
Net profit margin		14.28%	6.72%	7.23%	6.49%	3.41%	4.07%	3.25%	2.99%	5.39%	10.62%	11.86%	8.20%	-2.03%	-2.21%	0.54%	4.96%	14.50%	-1.16%	-4.68%	-4.03%

December 31, 2023 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $1,024,000K ÷ $7,171,500K
= 14.28%

The net profit margin of Zimmer Biomet Holdings Inc has displayed variability over the past eight quarters, ranging from 2.85% to 13.85%. The company's net profit margin experienced a significant increase in Q4 2023 compared to the previous quarter, reaching 13.85%, indicating that the company was able to generate $0.1385 in net income for every dollar of revenue during the quarter. This improvement may suggest more efficient cost management or an increase in revenue growth during the period. Furthermore, the Q4 2023 net profit margin of 13.85% represents a strong performance compared to the same quarter in the previous year, where the net profit margin was 3.33%.

Overall, the upward trend in net profit margin from Q1 2022 to Q4 2023 indicates that Zimmer Biomet Holdings Inc has been able to enhance profitability relative to its revenue, which can be a positive indicator of the company's operational efficiency and financial health. Investors and stakeholders may view this improvement favorably as it implies that the company is effectively managing its costs and maximizing its profitability.