Adobe Systems Incorporated (ADBE)

Operating profit margin

		Dec 1, 2023	Dec 2, 2022	Dec 3, 2021	Nov 27, 2020	Nov 29, 2019
Operating income	US$ in thousands	6,650,000	6,098,000	5,802,000	4,237,000	3,268,000
Revenue	US$ in thousands	19,409,000	17,606,000	15,785,000	12,868,000	11,171,000
Operating profit margin		34.26%	34.64%	36.76%	32.93%	29.25%

December 1, 2023 calculation

Operating profit margin = Operating income ÷ Revenue
= $6,650,000K ÷ $19,409,000K
= 34.26%

To analyze Adobe Inc's operating profit margin, we see a trend of fluctuation over the past five years.

In 2019, the operating profit margin was 29.25%, indicating that for every dollar of sales, Adobe Inc generated a profit of $0.2925. Over the next year, the operating profit margin increased to 32.93%, showing an improvement in profitability and efficiency in managing operating expenses.

However, in 2021, there was a significant jump in the operating profit margin to 36.76%, suggesting a substantial increase in profitability and efficient cost management. This could be attributed to various factors such as increased revenue, effective cost control, or improved business operations.

Moving to 2022, the operating profit margin decreased slightly to 34.64%, indicating a slight reduction in profitability compared to the previous year. Finally, in 2023, the operating profit margin remained relatively stable at 34.26%, indicating continued strong profitability and efficient management of operating costs.

Overall, Adobe Inc's operating profit margin shows a generally positive trend, with some fluctuations, indicating consistent profitability and efficient cost management over the years.

It's important to note that further analysis, including comparing these ratios with industry benchmarks and analyzing the company's operating expenses, would provide a more comprehensive understanding of Adobe Inc's operating profit margin and its implications for the company's financial performance.