Zimmer Biomet Holdings Inc (ZBH)

Net profit margin

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Net income (ttm) US$ in thousands 903,800 1,083,500 997,100 963,900 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
Revenue (ttm) US$ in thousands 7,434,500 7,373,400 7,289,700 7,214,600 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
Net profit margin 12.16% 14.69% 13.68% 13.36% 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%

December 31, 2024 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $903,800K ÷ $7,434,500K
= 12.16%

Zimmer Biomet Holdings Inc's net profit margin has shown fluctuations over the periods provided. The net profit margin is a key profitability ratio that indicates the company's effectiveness in generating profits from its revenue after accounting for all expenses.

The trend in Zimmer Biomet's net profit margin indicates some volatility, with positive margins in some quarters and negative margins in others. For example, the net profit margin was negative in the third and fourth quarters of 2020, indicating that the company incurred losses during those periods.

However, the company's performance improved in subsequent quarters, with the net profit margin showing an upward trajectory through 2021 and into 2024. The highest net profit margin was recorded in the fourth quarter of 2024 at 14.69%, indicating that Zimmer Biomet was able to significantly increase its profitability during that period.

Overall, it is essential to monitor Zimmer Biomet's net profit margin closely to assess its profitability and financial health consistently. While improvements have been observed in recent quarters, the company should continue to focus on cost management and revenue generation strategies to sustain and enhance its profitability in the long run.