Amazon.com Inc (AMZN)

Operating profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Operating income	US$ in thousands	68,593,000	36,852,000	12,248,000	24,879,000	22,899,000
Revenue	US$ in thousands	637,551,000	571,668,000	511,276,000	467,958,000	384,452,000
Operating profit margin		10.76%	6.45%	2.40%	5.32%	5.96%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $68,593,000K ÷ $637,551,000K
= 10.76%

Based on the provided data, the operating profit margin of Amazon.com Inc has shown fluctuations over the past five years. In December 31, 2020, the operating profit margin stood at 5.96%, indicating that the company generated $0.0596 in operating profit for every dollar of sales. Subsequently, the margin decreased to 5.32% by December 31, 2021.

In the following year, December 31, 2022, the operating profit margin dropped to 2.40%, suggesting that the company's profitability from its core operations decreased significantly. However, by December 31, 2023, the margin rebounded to 6.45%, showcasing an improvement in profitability.

Notably, by December 31, 2024, Amazon.com Inc achieved an operating profit margin of 10.76%, signifying a substantial increase in profitability compared to the prior years. This improvement could be attributed to various factors such as cost efficiencies, revenue growth, or strategic business decisions.

Overall, the analysis of Amazon.com Inc's operating profit margin demonstrates both volatility and resilience in its profitability performance over the five-year period. It is essential for stakeholders to monitor these fluctuations to assess the company's operational efficiency and financial health accurately.