Net Profit Margin
since 2010
Calculation
Generac Holdings Inc., net profit margin, long-term trends, calculation
| Net profit margin | = | 100 | × | Net income (loss) attributable to Generac Holdings Inc.1 | ÷ | Net sales1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 14.73% | = | 100 | × | 550,494) | ÷ | 3,737,184) |
| Dec 31, 2020 | 14.11% | = | 100 | × | 350,576) | ÷ | 2,485,200) |
| Dec 31, 2019 | 11.43% | = | 100 | × | 252,007) | ÷ | 2,204,336) |
| Dec 31, 2018 | 11.77% | = | 100 | × | 238,257) | ÷ | 2,023,464) |
| Dec 31, 2017 | 9.53% | = | 100 | × | 159,386) | ÷ | 1,672,445) |
| Dec 31, 2016 | 6.84% | = | 100 | × | 98,788) | ÷ | 1,444,453) |
| Dec 31, 2015 | 5.90% | = | 100 | × | 77,747) | ÷ | 1,317,299) |
| Dec 31, 2014 | 11.95% | = | 100 | × | 174,613) | ÷ | 1,460,919) |
| Dec 31, 2013 | 11.75% | = | 100 | × | 174,539) | ÷ | 1,485,765) |
| Dec 31, 2012 | 7.93% | = | 100 | × | 93,223) | ÷ | 1,176,306) |
| Dec 31, 2011 | 40.99% | = | 100 | × | 324,643) | ÷ | 791,976) |
| Dec 31, 2010 | -16.52% | = | 100 | × | (97,952) | ÷ | 592,880) |
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).
1 US$ in thousands
The financial trajectory from 2010 to 2021 is characterized by an initial period of high volatility followed by a sustained trend of expansion in both scale and profitability. The transition from a net loss in 2010 to consistent profit growth indicates a significant operational turnaround and subsequent scaling of the business model.
- Revenue and Net Income Growth
- Net sales exhibited consistent long-term growth, increasing from 592.8 million USD in 2010 to 3.7 billion USD by 2021. Net income followed a similar upward trajectory, moving from a loss of 97.9 million USD in 2010 to a peak of 550.5 million USD in 2021. The substantial increase in absolute profit figures suggests a strong ability to capture market demand over the eleven-year period.
- Net Profit Margin Volatility
- The net profit margin experienced extreme fluctuations in the early years, shifting from -16.52% in 2010 to an anomalous peak of 40.99% in 2011. This was followed by a correction in 2012 to 7.93%. Between 2013 and 2015, margins remained relatively unstable, fluctuating between a high of 11.95% and a low of 5.90%.
- Profitability Optimization Trend
- A period of steady margin expansion is observed from 2016 through 2021. During this interval, the net profit margin rose from 6.84% to 14.73%. The fact that the margin increased while net sales grew simultaneously indicates improved operational efficiency and the achievement of economies of scale, as profit growth outpaced the growth of total revenue.
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Comparison to Competitors
Generac Holdings Inc., net profit margin, long-term trends, comparison to competitors
| Generac Holdings Inc. | Boeing Co. | Caterpillar Inc. | Eaton Corp. plc | GE Aerospace | Honeywell International Inc. | Lockheed Martin Corp. | RTX Corp. | |
|---|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 14.73% | -6.75% | 13.47% | 10.92% | -9.17% | 16.11% | 9.42% | 6.00% |
| Dec 31, 2020 | 14.11% | -20.42% | 7.68% | 7.90% | 7.81% | 14.64% | 10.45% | -6.22% |
| Dec 31, 2019 | 11.43% | -0.83% | 12.00% | 10.34% | -5.69% | 16.73% | 10.42% | 7.19% |
| Dec 31, 2018 | 11.77% | 10.34% | 11.86% | 9.93% | -19.69% | 16.18% | 9.39% | 7.92% |
| Dec 31, 2017 | 9.53% | 8.78% | 1.77% | 14.63% | -5.11% | 4.08% | 3.92% | 7.61% |
| Dec 31, 2016 | 6.84% | 5.18% | -0.19% | 9.73% | 8.00% | 12.24% | 11.22% | 8.83% |
| Dec 31, 2015 | 5.90% | 5.39% | 4.76% | 9.49% | -5.79% | 12.36% | 7.81% | 13.56% |
| Dec 31, 2014 | 11.95% | 6.00% | 7.09% | 7.95% | 14.27% | 10.52% | 7.93% | 9.55% |
| Dec 31, 2013 | 11.75% | 5.29% | 7.19% | 8.44% | 12.99% | 10.05% | 6.57% | 9.14% |
| Dec 31, 2012 | 7.93% | 4.77% | 9.01% | 7.46% | 13.62% | 7.77% | 5.82% | 8.89% |
| Dec 31, 2011 | 40.99% | 5.85% | 8.59% | 8.41% | 14.97% | 5.66% | 5.71% | 8.56% |
| Dec 31, 2010 | -16.52% | 5.14% | 6.77% | 6.77% | 11.59% | 6.06% | 6.39% | 8.05% |
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).
Comparison to Sector (Capital Goods)
Generac Holdings Inc., net profit margin, long-term trends, comparison to sector (capital goods)
| Generac Holdings Inc. | Capital Goods | |
|---|---|---|
| Dec 31, 2021 | 14.73% | 3.71% |
| Dec 31, 2020 | 14.11% | 1.85% |
| Dec 31, 2019 | 11.43% | 5.03% |
| Dec 31, 2018 | 11.77% | 2.99% |
| Dec 31, 2017 | 9.53% | 3.41% |
| Dec 31, 2016 | 6.84% | 7.61% |
| Dec 31, 2015 | 5.90% | 4.69% |
| Dec 31, 2014 | 11.95% | 9.51% |
| Dec 31, 2013 | 11.75% | 8.78% |
| Dec 31, 2012 | 7.93% | 8.73% |
| Dec 31, 2011 | 40.99% | 9.04% |
| Dec 31, 2010 | -16.52% | 7.93% |
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).
Comparison to Industry (Industrials)
Generac Holdings Inc., net profit margin, long-term trends, comparison to industry (industrials)
| Generac Holdings Inc. | Industrials | |
|---|---|---|
| Dec 31, 2021 | 14.73% | 5.85% |
| Dec 31, 2020 | 14.11% | 0.09% |
| Dec 31, 2019 | 11.43% | 4.11% |
| Dec 31, 2018 | 11.77% | 4.75% |
| Dec 31, 2017 | 9.53% | 5.79% |
| Dec 31, 2016 | 6.84% | 7.43% |
| Dec 31, 2015 | 5.90% | 6.48% |
| Dec 31, 2014 | 11.95% | 8.76% |
| Dec 31, 2013 | 11.75% | 8.23% |
| Dec 31, 2012 | 7.93% | 7.39% |
| Dec 31, 2011 | 40.99% | 8.26% |
| Dec 31, 2010 | -16.52% | 7.48% |
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).