AutoNation Inc (AN)

Operating profit margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Operating income (ttm)	US$ in thousands	1,210,800	1,174,300	1,243,100	1,458,800	1,605,000	1,726,900	1,829,900	1,948,800	2,024,500	2,132,000	2,112,800	2,084,900	1,902,800	1,679,800	1,448,200	1,119,400	563,200	489,600	411,400	413,500
Revenue (ttm)	US$ in thousands	26,765,400	26,319,600	26,626,200	27,035,900	26,948,900	26,878,500	26,651,800	26,630,900	26,985,000	26,870,300	26,583,800	26,693,000	25,844,000	25,046,800	24,072,200	21,626,800	20,390,000	20,153,800	20,210,100	21,020,900
Operating profit margin		4.52%	4.46%	4.67%	5.40%	5.96%	6.42%	6.87%	7.32%	7.50%	7.93%	7.95%	7.81%	7.36%	6.71%	6.02%	5.18%	2.76%	2.43%	2.04%	1.97%

December 31, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $1,210,800K ÷ $26,765,400K
= 4.52%

AutoNation Inc's operating profit margin has displayed fluctuations over the analyzed period, ranging from as low as 1.97% in March 2020 to a peak of 7.95% in June 2022. The trend generally shows an increasing pattern from 2020 to mid-2022, indicating improved efficiency in generating profits from operations. However, there was a slight decline in the margin from the second half of 2022 to 2024, reaching 4.52% by December 2024. This could be a concerning trend, suggesting potential challenges in maintaining profitability or controlling operating expenses. Overall, a holistic review of the company's operational strategies and financial performance may be necessary to address the fluctuating operating profit margin.