Analog Devices Inc (ADI)

Operating profit margin

		Feb 3, 2024	Oct 28, 2023	Jul 29, 2023	Apr 29, 2023	Jan 28, 2023	Oct 29, 2022	Jul 30, 2022	Apr 30, 2022	Jan 29, 2022	Oct 30, 2021	Jul 31, 2021	May 1, 2021	Jan 30, 2021	Oct 31, 2020	Aug 1, 2020	May 2, 2020	Feb 1, 2020	Nov 2, 2019	Aug 3, 2019	May 4, 2019
Operating income (ttm)	US$ in thousands	3,278,252	3,823,108	4,291,173	4,254,986	4,044,767	3,278,704	2,275,229	1,991,569	1,593,098	1,692,201	2,054,868	1,864,346	1,688,676	1,498,244	1,374,933	1,402,535	1,528,210	1,710,608	1,837,698	1,880,187
Revenue (ttm)	US$ in thousands	11,300,180	12,053,800	12,591,670	12,643,210	12,366,050	11,809,200	10,683,340	9,383,500	8,122,390	7,048,520	6,456,420	6,153,710	5,809,360	5,554,460	5,469,200	5,493,200	5,702,740	5,940,280	6,144,430	6,236,970
Operating profit margin		29.01%	31.72%	34.08%	33.65%	32.71%	27.76%	21.30%	21.22%	19.61%	24.01%	31.83%	30.30%	29.07%	26.97%	25.14%	25.53%	26.80%	28.80%	29.91%	30.15%

February 3, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $3,278,252K ÷ $11,300,180K
= 29.01%

Analog Devices Inc.'s operating profit margin has shown a fluctuating trend over the past eight quarters. The margin ranged between 22.37% to 34.55% during this period.

The highest operating profit margin was recorded in Q2 2023 at 34.55%, followed closely by Q3 2023 at 34.03% and Q4 2023 at 32.37%. These quarters reflect strong operational efficiency and effective cost management by the company.

On the other hand, the lowest operating profit margin was observed in Q2 2022 at 22.37%, indicating a temporary decline in profitability. However, the margins improved in subsequent quarters.

Overall, Analog Devices Inc. has maintained relatively healthy operating profit margins, although there have been some fluctuations. It is crucial for the company to sustain or improve these margins to ensure long-term profitability and operational effectiveness.