ABM Industries Incorporated (ABM)
Operating profit margin
| Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | Oct 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 409,500 | 348,800 | 206,300 | 95,700 | 208,300 |
| Revenue | US$ in thousands | 8,014,100 | 7,765,500 | 6,200,000 | 5,943,000 | 6,447,500 |
| Operating profit margin | 5.11% | 4.49% | 3.33% | 1.61% | 3.23% |
October 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $409,500K ÷ $8,014,100K
= 5.11%
Based on the data provided, ABM Industries Inc.'s operating profit margin has shown variation over the past five years. The operating profit margin indicates the company's ability to generate profit from its core operations.
In 2023, the operating profit margin increased to 5.06% from 4.47% in 2022, reflecting improved efficiency in controlling operating expenses and higher revenue generation. This suggests a positive trend in the company's operational profitability.
The 2021 operating profit margin was 3.31%, which represented a significant increase from 2020's figure of 4.61%. This reduction may be attributed to changes in the cost structure or revenue composition of the business, as well as potential external factors such as economic conditions or industry-specific challenges.
Furthermore, the 2019 operating profit margin stood at 3.38%, indicating a slightly lower level of operational profitability compared to 2021. This highlights the company's ongoing efforts to manage costs and improve operational efficiency.
Overall, the fluctuation in ABM Industries Inc.'s operating profit margin over the years suggests the company's responsiveness to changing market conditions and its ability to adapt its operational strategies to maintain and improve profitability.
Peer comparison
Oct 31, 2023