Align Technology Inc (ALGN)

Operating profit margin

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Operating income (ttm)	US$ in thousands	643,338	584,454	561,764	578,029	642,595	750,826	868,330	949,036	976,400	968,692	884,601	542,699	387,171	325,137	275,220	524,710	542,493	511,816	509,872	456,073
Revenue (ttm)	US$ in thousands	3,862,257	3,807,046	3,737,180	3,704,563	3,734,635	3,864,220	3,989,782	4,031,039	3,952,591	3,756,011	3,474,245	2,815,749	2,471,941	2,287,208	2,160,405	2,408,788	2,406,796	2,291,029	2,188,977	2,078,539
Operating profit margin		16.66%	15.35%	15.03%	15.60%	17.21%	19.43%	21.76%	23.54%	24.70%	25.79%	25.46%	19.27%	15.66%	14.22%	12.74%	21.78%	22.54%	22.34%	23.29%	21.94%

December 31, 2023 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $643,338K ÷ $3,862,257K
= 16.66%

Align Technology, Inc.'s operating profit margin has shown a decreasing trend over the past year. In Q4 2023, the operating profit margin was 17.00%, down from 17.51% in the same quarter of the previous year. The decline continued from Q3 2023 (15.65%) to Q2 2023 (15.34%) and then slightly improved in Q1 2023 (15.91%).

Comparing the most recent quarter to the same quarter last year, there has been a noticeable decrease in operating profit margin. This decline suggests potential challenges in managing costs or generating revenue efficiently. Further analysis of the company's cost structure and revenue streams may be necessary to understand the factors contributing to this trend.