Air Products and Chemicals Inc (APD)

Operating profit margin

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Operating income	US$ in thousands	4,466,100	2,494,600	2,338,800	2,281,400	2,237,600
Revenue	US$ in thousands	12,100,600	12,600,000	12,698,600	10,323,000	8,856,300
Operating profit margin		36.91%	19.80%	18.42%	22.10%	25.27%

September 30, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $4,466,100K ÷ $12,100,600K
= 36.91%

The operating profit margin of Air Products and Chemicals Inc has shown varying levels over the past five years. In 2024, the operating profit margin improved significantly to 36.91%, marking a notable increase compared to the previous year's 19.80%. This surge suggests that the company has effectively managed its operating expenses and generated higher profits from its core business activities.

Looking back at 2023 and 2022, the operating profit margins were 19.80% and 18.42%, respectively, indicating a relatively stable performance in terms of profitability during those periods.

In 2021, the operating profit margin dipped to 22.10% from 25.27% in 2020. This decrease may imply that the company faced challenges in controlling its operating costs or experienced a temporary drop in revenue generation compared to the previous year.

Overall, Air Products and Chemicals Inc's operating profit margin has demonstrated fluctuations over the analyzed period, with the latest year showing a significant improvement in profitability levels. This metric is crucial for evaluating the company's operational efficiency and financial health.