Arrowhead Pharmaceuticals Inc (ARWR)

Operating profit margin

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Operating income	US$ in thousands	-601,080	-205,002	-178,507	-149,036	-93,159
Revenue	US$ in thousands	3,471	222,409	243,231	138,287	87,992
Operating profit margin		-17,317.20%	-92.17%	-73.39%	-107.77%	-105.87%

September 30, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $-601,080K ÷ $3,471K
= -17,317.20%

The operating profit margin of Arrowhead Pharmaceuticals Inc has fluctuated significantly over the past five years. In Sep 30, 2024, the operating profit margin was -17,317.20%, indicating a substantial loss relative to revenues. This sharp decline in profitability could be attributed to a variety of factors such as increased expenses, impairment charges, or pricing pressures affecting the company's ability to generate profits from its core operations.

Comparatively, in the preceding years, the operating profit margin was also negative, ranging from -92.17% in Sep 30, 2023, to -105.87% in Sep 30, 2020. These consistent negative margins suggest ongoing challenges in managing costs and driving operational efficiencies within Arrowhead Pharmaceuticals Inc.

The persistent negative operating profit margins highlight the company's struggle to generate profit from its core business activities. Investors and stakeholders may be concerned about the company's ability to achieve sustainable profitability and improve its financial performance over the long term. Further analysis of the company's cost structure, revenue streams, and strategic initiatives may be necessary to address the underlying issues contributing to the negative operating profit margins.