Net Profit Margin
since 2005
Calculation
Align Technology Inc., net profit margin, long-term trends, calculation
| Net profit margin | = | 100 | × | Net income (loss)1 | ÷ | Net revenues1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2022 | 9.68% | = | 100 | × | 361,573) | ÷ | 3,734,635) |
| Dec 31, 2021 | 19.53% | = | 100 | × | 772,020) | ÷ | 3,952,584) |
| Dec 31, 2020 | 71.84% | = | 100 | × | 1,775,888) | ÷ | 2,471,941) |
| Dec 31, 2019 | 18.40% | = | 100 | × | 442,776) | ÷ | 2,406,796) |
| Dec 31, 2018 | 20.35% | = | 100 | × | 400,235) | ÷ | 1,966,492) |
| Dec 31, 2017 | 15.71% | = | 100 | × | 231,418) | ÷ | 1,473,413) |
| Dec 31, 2016 | 17.57% | = | 100 | × | 189,682) | ÷ | 1,079,874) |
| Dec 31, 2015 | 17.03% | = | 100 | × | 144,020) | ÷ | 845,486) |
| Dec 31, 2014 | 19.15% | = | 100 | × | 145,832) | ÷ | 761,653) |
| Dec 31, 2013 | 9.74% | = | 100 | × | 64,295) | ÷ | 660,206) |
| Dec 31, 2012 | 10.48% | = | 100 | × | 58,691) | ÷ | 560,041) |
| Dec 31, 2011 | 13.91% | = | 100 | × | 66,716) | ÷ | 479,741) |
| Dec 31, 2010 | 19.18% | = | 100 | × | 74,253) | ÷ | 387,126) |
| Dec 31, 2009 | -10.01% | = | 100 | × | (31,269) | ÷ | 312,333) |
| Dec 31, 2008 | 26.31% | = | 100 | × | 79,987) | ÷ | 303,976) |
| Dec 31, 2007 | 12.56% | = | 100 | × | 35,724) | ÷ | 284,332) |
| Dec 31, 2006 | -16.94% | = | 100 | × | (34,963) | ÷ | 206,354) |
| Dec 31, 2005 | 0.68% | = | 100 | × | 1,413) | ÷ | 207,125) |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in thousands
The financial trajectory from 2005 to 2022 is characterized by consistent revenue expansion paired with varying levels of profitability. While net revenues grew from approximately 207 million USD in 2005 to over 3.7 billion USD by 2022, the net profit margin exhibited significant fluctuations, particularly in the early years and during a singular peak in 2020.
- Early Period Volatility (2005–2009)
- The initial phase was marked by inconsistent profitability. Net profit margins swung from a marginal 0.68% in 2005 to a deficit of -16.94% in 2006, followed by a recovery to 26.31% in 2008, and another drop to -10.01% in 2009. These fluctuations indicate a period of operational instability or significant shifts in cost structures relative to revenue growth.
- Operational Stabilization and Scaling (2010–2019)
- A phase of more predictable growth began in 2010. Net revenues increased steadily from 387 million USD to 2.4 billion USD over this decade. During this period, the net profit margin generally stabilized, typically ranging between 9.7% and 20.4%. A temporary decline occurred between 2011 and 2013, where margins bottomed at 9.74% before recovering and maintaining a consistent range in the high teens from 2014 through 2019.
- Anomalous Performance and Margin Compression (2020–2022)
- The year 2020 presented a significant statistical outlier, with the net profit margin surging to 71.84%. This spike was driven by a disproportionate increase in net income to 1.77 billion USD, despite only a modest increase in net revenues, suggesting the impact of a non-recurring gain. By 2021, the margin normalized to 19.53%. However, 2022 saw a sharp contraction in the net profit margin to 9.68%, representing a significant decrease in profitability despite the company achieving its highest recorded revenue of 3.73 billion USD.
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Comparison to Competitors
Align Technology Inc., net profit margin, long-term trends, comparison to competitors
| Align Technology Inc. | Abbott Laboratories | Elevance Health Inc. | Intuitive Surgical Inc. | Medtronic PLC | UnitedHealth Group Inc. | |
|---|---|---|---|---|---|---|
| Dec 31, 2022 | 9.68% | 15.88% | 3.87% | 21.25% | 15.90% | 6.25% |
| Dec 31, 2021 | 19.53% | 16.42% | 4.46% | 29.85% | 11.97% | 6.06% |
| Dec 31, 2020 | 71.84% | 12.99% | 3.78% | 24.33% | 16.56% | 6.03% |
| Dec 31, 2019 | 18.40% | 11.56% | 4.66% | 30.80% | 15.16% | 5.76% |
| Dec 31, 2018 | 20.35% | 7.74% | 4.11% | 30.29% | 10.36% | 5.33% |
| Dec 31, 2017 | 15.71% | 1.74% | 4.31% | 21.09% | 13.56% | 5.28% |
| Dec 31, 2016 | 17.57% | 6.71% | 2.93% | 27.21% | 12.27% | 3.81% |
| Dec 31, 2015 | 17.03% | 21.68% | 3.27% | 24.69% | 13.20% | 3.72% |
| Dec 31, 2014 | 19.15% | 11.28% | 3.52% | 19.65% | 18.02% | 4.33% |
| Dec 31, 2013 | 9.74% | 11.79% | 3.55% | 29.62% | 20.90% | 4.62% |
| Dec 31, 2012 | 10.48% | 14.95% | 4.37% | 30.14% | 22.35% | 5.03% |
| Dec 31, 2011 | 13.91% | 12.17% | 4.42% | 28.17% | 19.43% | 5.08% |
| Dec 31, 2010 | 19.18% | 13.15% | 4.99% | 27.02% | 19.59% | 4.95% |
| Dec 31, 2009 | -10.01% | 18.68% | 7.80% | 22.11% | 14.86% | 4.42% |
| Dec 31, 2008 | 26.31% | 16.53% | 4.04% | 23.35% | 16.51% | 3.70% |
| Dec 31, 2007 | 12.56% | 13.92% | 5.56% | 24.06% | 22.78% | 6.26% |
| Dec 31, 2006 | -16.94% | 7.64% | 5.52% | 19.33% | 22.55% | 5.89% |
| Dec 31, 2005 | 0.68% | 15.10% | 5.53% | 41.41% | 17.94% | 7.36% |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Health Care Equipment & Services)
Align Technology Inc., net profit margin, long-term trends, comparison to sector (health care equipment & services)
| Align Technology Inc. | Health Care Equipment & Services | |
|---|---|---|
| Dec 31, 2022 | 9.68% | 7.05% |
| Dec 31, 2021 | 19.53% | 7.14% |
| Dec 31, 2020 | 71.84% | 6.82% |
| Dec 31, 2019 | 18.40% | 6.91% |
| Dec 31, 2018 | 20.35% | 5.87% |
| Dec 31, 2017 | 15.71% | 5.60% |
| Dec 31, 2016 | 17.57% | 4.73% |
| Dec 31, 2015 | 17.03% | 5.78% |
| Dec 31, 2014 | 19.15% | 5.76% |
| Dec 31, 2013 | 9.74% | 6.37% |
| Dec 31, 2012 | 10.48% | 8.05% |
| Dec 31, 2011 | 13.91% | 7.40% |
| Dec 31, 2010 | 19.18% | 7.67% |
| Dec 31, 2009 | -10.01% | 8.63% |
| Dec 31, 2008 | 26.31% | 6.88% |
| Dec 31, 2007 | 12.56% | 8.40% |
| Dec 31, 2006 | -16.94% | 7.20% |
| Dec 31, 2005 | 0.68% | 9.04% |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Health Care)
Align Technology Inc., net profit margin, long-term trends, comparison to industry (health care)
| Align Technology Inc. | Health Care | |
|---|---|---|
| Dec 31, 2022 | 9.68% | 14.65% |
| Dec 31, 2021 | 19.53% | 15.24% |
| Dec 31, 2020 | 71.84% | 10.27% |
| Dec 31, 2019 | 18.40% | 14.56% |
| Dec 31, 2018 | 20.35% | 12.61% |
| Dec 31, 2017 | 15.71% | 9.26% |
| Dec 31, 2016 | 17.57% | 12.80% |
| Dec 31, 2015 | 17.03% | 13.94% |
| Dec 31, 2014 | 19.15% | 14.40% |
| Dec 31, 2013 | 9.74% | 15.04% |
| Dec 31, 2012 | 10.48% | 13.92% |
| Dec 31, 2011 | 13.91% | 12.06% |
| Dec 31, 2010 | 19.18% | 11.90% |
| Dec 31, 2009 | -10.01% | 17.77% |
| Dec 31, 2008 | 26.31% | 13.00% |
| Dec 31, 2007 | 12.56% | 12.52% |
| Dec 31, 2006 | -16.94% | 15.30% |
| Dec 31, 2005 | 0.68% | 14.61% |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).