Applied Materials Inc (AMAT)
Operating profit margin
| Oct 27, 2024 | Jul 28, 2024 | Apr 28, 2024 | Jan 28, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Oct 25, 2020 | Jul 26, 2020 | Apr 26, 2020 | Jan 26, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 7,867,000 | 7,792,000 | 7,652,000 | 7,651,000 | 7,654,000 | 7,677,000 | 7,799,000 | 7,782,000 | 7,788,000 | 7,808,000 | 7,897,000 | 7,582,000 | 6,889,000 | 6,158,000 | 5,253,000 | 4,606,000 | 4,365,000 | 3,946,000 | 3,640,000 | 3,484,000 |
| Revenue (ttm) | US$ in thousands | 27,058,000 | 26,743,000 | 26,339,000 | 26,311,000 | 26,274,000 | 26,319,000 | 26,414,000 | 26,027,000 | 25,590,000 | 24,905,000 | 24,569,000 | 23,924,000 | 22,880,000 | 21,547,000 | 19,794,000 | 18,202,000 | 17,202,000 | 16,268,000 | 15,435,000 | 15,017,000 |
| Operating profit margin | 29.07% | 29.14% | 29.05% | 29.08% | 29.13% | 29.17% | 29.53% | 29.90% | 30.43% | 31.35% | 32.14% | 31.69% | 30.11% | 28.58% | 26.54% | 25.30% | 25.37% | 24.26% | 23.58% | 23.20% |
October 27, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $7,867,000K ÷ $27,058,000K
= 29.07%
Applied Materials Inc's operating profit margin has been relatively stable over the past few years, fluctuating between 23.20% in January 2020 to a peak of 32.14% in July 2022. The company's most recent operating profit margin as of October 27, 2024, stands at 29.07%.
The operating profit margin indicates the efficiency of the company in managing its operating expenses relative to its revenue. Applied Materials Inc's consistent operating profit margin above 25% demonstrates effective cost management and profitability in its operations. However, the slight decline in the margin from its peak suggests potential challenges in maintaining profitability or increasing costs that need monitoring.
Overall, Applied Materials Inc's operating profit margin reflects the company's ability to generate profits from its core business activities, but ongoing scrutiny of cost control measures may be necessary to sustain or enhance profitability in the future.
Peer comparison
Oct 27, 2024
See also:
Applied Materials Inc Operating Profit Margin (Quarterly Data)