Net Profit Margin
since 2005
Calculation
Ecolab Inc., net profit margin, long-term trends, calculation
| Net profit margin | = | 100 | × | Net income (loss) attributable to Ecolab1 | ÷ | Net sales1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 8.87% | = | 100 | × | 1,129,900) | ÷ | 12,733,100) |
| Dec 31, 2020 | -10.22% | = | 100 | × | (1,205,100) | ÷ | 11,790,200) |
| Dec 31, 2019 | 10.46% | = | 100 | × | 1,558,900) | ÷ | 14,906,300) |
| Dec 31, 2018 | 9.74% | = | 100 | × | 1,429,100) | ÷ | 14,668,200) |
| Dec 31, 2017 | 10.90% | = | 100 | × | 1,508,400) | ÷ | 13,838,300) |
| Dec 31, 2016 | 9.35% | = | 100 | × | 1,229,600) | ÷ | 13,152,800) |
| Dec 31, 2015 | 7.40% | = | 100 | × | 1,002,100) | ÷ | 13,545,100) |
| Dec 31, 2014 | 8.42% | = | 100 | × | 1,202,800) | ÷ | 14,280,500) |
| Dec 31, 2013 | 7.30% | = | 100 | × | 967,800) | ÷ | 13,253,400) |
| Dec 31, 2012 | 5.94% | = | 100 | × | 703,600) | ÷ | 11,838,700) |
| Dec 31, 2011 | 6.80% | = | 100 | × | 462,500) | ÷ | 6,798,500) |
| Dec 31, 2010 | 8.71% | = | 100 | × | 530,300) | ÷ | 6,089,700) |
| Dec 31, 2009 | 7.07% | = | 100 | × | 417,300) | ÷ | 5,900,600) |
| Dec 31, 2008 | 7.30% | = | 100 | × | 448,100) | ÷ | 6,137,500) |
| Dec 31, 2007 | 7.81% | = | 100 | × | 427,200) | ÷ | 5,469,600) |
| Dec 31, 2006 | 7.53% | = | 100 | × | 368,615) | ÷ | 4,895,814) |
| Dec 31, 2005 | 7.05% | = | 100 | × | 319,481) | ÷ | 4,534,832) |
Based on: 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 2021 is characterized by long-term growth in revenue and profitability, interrupted by a severe singular downturn in 2020 followed by a rapid recovery in 2021.
- Revenue and Net Income Trends
- Net sales exhibited a steady climb from 4.53 billion US dollars in 2005 to 6.80 billion US dollars in 2011. A significant expansion occurred in 2012, with sales increasing to 11.84 billion US dollars, maintaining an upward trend to peak at 14.91 billion US dollars in 2019. Net income followed a similar growth pattern, rising from 319 million US dollars in 2005 to a peak of 1.56 billion US dollars in 2019, demonstrating a strong capacity for earnings growth over the fifteen-year period.
- Net Profit Margin Analysis
- The net profit margin remained relatively stable between 2005 and 2011, fluctuating between 6.80% and 8.71%. A contraction was observed in 2012, where the margin dropped to 5.94% despite the surge in net sales, suggesting a period of increased costs or integration expenses. Following 2012, profitability improved consistently, reaching a peak of 10.90% in 2017 and remaining above 9.7% through 2019.
- Volatility and Recovery (2020-2021)
- A sharp reversal in performance is evident in 2020, with net income falling to a loss of 1.21 billion US dollars and the net profit margin collapsing to -10.22%. This coincided with a decline in net sales to 11.79 billion US dollars. However, 2021 data indicates a substantial recovery, as net income returned to positive territory at 1.13 billion US dollars and the net profit margin rebounded to 8.87%, approximating the profitability levels seen in the mid-2010s.
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Comparison to Competitors
Ecolab Inc., net profit margin, long-term trends, comparison to competitors
| Ecolab Inc. | Linde plc | Sherwin-Williams Co. | |
|---|---|---|---|
| Dec 31, 2021 | 8.87% | 12.42% | 9.35% |
| Dec 31, 2020 | -10.22% | 9.18% | 11.06% |
| Dec 31, 2019 | 10.46% | 8.09% | 8.61% |
| Dec 31, 2018 | 9.74% | 29.40% | 6.32% |
| Dec 31, 2017 | 10.90% | 10.90% | 11.83% |
| Dec 31, 2016 | 9.35% | 14.24% | 9.55% |
| Dec 31, 2015 | 7.40% | 14.36% | 9.29% |
| Dec 31, 2014 | 8.42% | 13.80% | 7.78% |
| Dec 31, 2013 | 7.30% | 14.72% | 7.39% |
| Dec 31, 2012 | 5.94% | 15.07% | 6.62% |
| Dec 31, 2011 | 6.80% | 14.86% | 5.04% |
| Dec 31, 2010 | 8.71% | 11.81% | 5.95% |
| Dec 31, 2009 | 7.07% | 14.00% | 6.14% |
| Dec 31, 2008 | 7.30% | 11.22% | 5.98% |
| Dec 31, 2007 | 7.81% | 12.52% | 7.69% |
| Dec 31, 2006 | 7.53% | 11.87% | 7.38% |
| Dec 31, 2005 | 7.05% | 9.48% | 6.44% |
Based on: 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 (Chemicals)
Ecolab Inc., net profit margin, long-term trends, comparison to sector (chemicals)
| Ecolab Inc. | Chemicals | |
|---|---|---|
| Dec 31, 2021 | 8.87% | 11.22% |
| Dec 31, 2020 | -10.22% | 9.94% |
| Dec 31, 2019 | 10.46% | 8.29% |
| Dec 31, 2018 | 9.74% | 16.93% |
| Dec 31, 2017 | 10.90% | 11.43% |
| Dec 31, 2016 | 9.35% | 11.76% |
| Dec 31, 2015 | 7.40% | 11.76% |
| Dec 31, 2014 | 8.42% | 10.94% |
| Dec 31, 2013 | 7.30% | 11.34% |
| Dec 31, 2012 | 5.94% | 11.19% |
| Dec 31, 2011 | 6.80% | 10.56% |
| Dec 31, 2010 | 8.71% | 9.26% |
| Dec 31, 2009 | 7.07% | 10.53% |
| Dec 31, 2008 | 7.30% | 8.99% |
| Dec 31, 2007 | 7.81% | 10.30% |
| Dec 31, 2006 | 7.53% | 9.69% |
| Dec 31, 2005 | 7.05% | 8.01% |
Based on: 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 (Materials)
Ecolab Inc., net profit margin, long-term trends, comparison to industry (materials)
| Ecolab Inc. | Materials | |
|---|---|---|
| Dec 31, 2021 | 8.87% | 13.59% |
| Dec 31, 2020 | -10.22% | 8.58% |
| Dec 31, 2019 | 10.46% | 5.93% |
| Dec 31, 2018 | 9.74% | 15.85% |
| Dec 31, 2017 | 10.90% | 11.29% |
| Dec 31, 2016 | 9.35% | -4.09% |
| Dec 31, 2015 | 7.40% | -25.36% |
| Dec 31, 2014 | 8.42% | 2.79% |
| Dec 31, 2013 | 7.30% | 12.00% |
| Dec 31, 2012 | 5.94% | 13.84% |
| Dec 31, 2011 | 6.80% | 16.32% |
| Dec 31, 2010 | 8.71% | 16.25% |
| Dec 31, 2009 | 7.07% | 14.28% |
| Dec 31, 2008 | 7.30% | -25.65% |
| Dec 31, 2007 | 7.81% | 13.89% |
| Dec 31, 2006 | 7.53% | 13.78% |
| Dec 31, 2005 | 7.05% | 11.48% |
Based on: 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).