Nova Lifestyle(Nvfy) Financials: Net Profit Margin Compared To Industry Average, Plus Other Key Ratios
Company Report for NVFY
Report - net profit margin
This chart shows the historical trend of net profit margin for NVFY compared to its industry average over the recent years.
Ratio Definition and Interpretation
Name: Net Profit Margin
Definition: Net profit margin shows how much profit remains after paying all costs — including operating expenses, interest, and taxes — for every dollar of sales. A higher margin means the business is efficient and keeps more of its sales as bottom-line profit. Falling margins may signal rising costs or pricing pressure.
Interpretation:
• In '2021', NVFY's net profit margin was -159.0%, measuring the overall profitability of the company. Industry average for Home Furnishings in '2021' stood at -10.2%.
• In '2022', NVFY's net profit margin was -134.2%, measuring the overall profitability of the company. The increase since '2021' reflects strengthening financial performance. Industry average for Home Furnishings in '2022' stood at -5.4%. Industry average increased by 4.8% compared to previous year.
• In '2023', NVFY's net profit margin was -69.7%, measuring the overall profitability of the company. The increase since '2022' reflects strengthening financial performance. Industry average for Home Furnishings in '2023' stood at -2.8%. Industry average increased by 2.6% compared to previous year.
• In '2024', NVFY's net profit margin was -57.4%, measuring the overall profitability of the company. The increase since '2023' reflects strengthening financial performance. Industry average for Home Furnishings in '2024' stood at -3.5%. Industry average declined by 0.7% from previous year.
Overall, NVFY's net profit margin has been volatile but showed an upward trend over the past 4 years.
Formula: Net Profit Margin = Net Income / Revenue
Good Range: Ranges 5%-20% for many industries.