AMN Healthcare Services Inc (AMN)

Operating profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Operating income	US$ in thousands	338,429	647,101	477,998	149,265	176,915
Revenue	US$ in thousands	3,735,110	5,201,280	3,947,290	2,326,690	2,222,110
Operating profit margin		9.06%	12.44%	12.11%	6.42%	7.96%

December 31, 2023 calculation

Operating profit margin = Operating income ÷ Revenue
= $338,429K ÷ $3,735,110K
= 9.06%

The operating profit margin of AMN Healthcare Services Inc. has varied over the past five years, ranging from 6.24% in 2020 to 12.34% in 2022. In the most recent period ending December 31, 2023, the operating profit margin stood at 8.93%. This indicates that the company generates approximately 8.93 cents of operating profit for every dollar of revenue generated.

The fluctuation in the operating profit margin suggests changes in the company's ability to control operating expenses relative to its revenue. A higher operating profit margin indicates better cost management and efficiency in generating profits from operations, while a lower margin may signify challenges in cost control or pricing strategies.

Analyzing the trend, there was a notable increase from 6.24% in 2020 to 12.34% in 2022, reflecting a significant improvement in profitability. However, the margin declined slightly in 2023 to 8.93%, potentially indicating a shift in the company's cost structure or revenue mix.

Overall, the operating profit margin trend for AMN Healthcare Services Inc. demonstrates some variability, highlighting the importance of monitoring both revenue generation and cost management strategies to sustain and enhance profitability.