Second, Xometry's gross profit margin is improving rapidly, and it's something management expects to continue with greater scale. That growth will be impressive if it continues. According to management, on average, buyers that were new to the platform in 2016 spent 10.7 times more on it in 2022 than they did during their first year. Likewise, Xometry's platform appears to be sticky. They provide places for buyers and sellers to connect, a service for which they take a (high-margin) cut of transactions.
Marketplaces are so profitable because, for the most part, they aren't the ones providing the physical goods. And because revenue grew while expenses fell, Airbnb turned in net income of $1.9 billion in 2022, giving it an eye-popping profit margin of almost 23%. However, Airbnb's business proved resilient. Therefore, it aggressively cut its operating expenses. When the pandemic started, management was unsure of what would happen in the travel industry. If you prefer to gauge businesses based on GAAP net income, then use Airbnb as an example of the profit potential of marketplace businesses. And eBay's operating margin has been above 20% now for over a decade.ĮBAY Operating Margin (TTM) data by YCharts. But looking at just eBay's operations, it had a GAAP operating margin of 24% in 2022 - quite good. The company does have an investment portfolio, and changes in its value can disproportionately distort its net income according to generally accepted accounting principles ( GAAP).
0 kommentar(er)
