Analog Devices Inc (ADI)

Operating profit margin

		Nov 2, 2024	Aug 3, 2024	May 4, 2024	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
Operating income (ttm)	US$ in thousands	2,032,798	2,097,821	2,535,995	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
Revenue (ttm)	US$ in thousands	9,285,710	9,487,500	10,182,440	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
Operating profit margin		21.89%	22.11%	24.91%	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%

November 2, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $2,032,798K ÷ $9,285,710K
= 21.89%

Analog Devices Inc's operating profit margin has exhibited some fluctuations over the past few quarters, ranging from a low of 19.61% in January 2022 to a high of 34.08% in July 2023. Generally, the operating profit margin has shown a decreasing trend from a high of 34.08% in July 2023 to 21.89% in November 2024.

The company's operating profit margin indicates the proportion of revenue that translates into operating profit after accounting for operating expenses. A higher operating profit margin signifies better operational efficiency and profitability.

Although the operating profit margin has shown some volatility, the company has managed to maintain relatively healthy margins above 20% in most quarters. However, management may need to monitor and possibly address any ongoing decline in the operating profit margin to ensure sustained profitability and operational efficiency in the future.