Arista Networks (ANET)

Operating profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Operating income	US$ in thousands	2,944,620	2,257,250	1,527,110	924,739	699,684
Revenue	US$ in thousands	7,003,150	5,860,170	4,381,310	2,948,040	2,321,810
Operating profit margin		42.05%	38.52%	34.86%	31.37%	30.14%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $2,944,620K ÷ $7,003,150K
= 42.05%

Based on the data provided, Arista Networks has demonstrated a consistent improvement in its operating profit margin over the years, signaling strong operational efficiency and profitability. The operating profit margin increased from 30.14% as of December 31, 2020, to 42.05% by December 31, 2024. This upward trend suggests that the company has been effectively controlling its operating expenses while generating higher revenues, leading to a greater proportion of revenue converting into operating profits. This steady growth in operating profit margin indicates Arista Networks' ability to efficiently manage its costs and maximize profitability over the specified period.