Arrowhead Pharmaceuticals Inc (ARWR)

Operating profit margin

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Operating income (ttm)	US$ in thousands	-299,413	-205,002	-180,502	-150,708	-157,320	-178,507	-159,560	-118,519	-188,304	-149,037	-134,273	-118,351	-112,359	-93,158	-33,401	1,141	45,392	61,191	40,384	5,868
Revenue (ttm)	US$ in thousands	166,263	225,258	245,998	267,743	278,338	243,231	249,939	263,418	144,424	138,288	107,638	89,123	79,841	87,993	123,653	138,974	163,593	168,796	136,758	94,788
Operating profit margin		-180.08%	-91.01%	-73.38%	-56.29%	-56.52%	-73.39%	-63.84%	-44.99%	-130.38%	-107.77%	-124.74%	-132.80%	-140.73%	-105.87%	-27.01%	0.82%	27.75%	36.25%	29.53%	6.19%

December 31, 2023 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-299,413K ÷ $166,263K
= -180.08%

Arrowhead Pharmaceuticals Inc.'s operating profit margin has displayed significant fluctuations over the past several quarters. The company reported negative operating profit margins ranging from -164.75% in Q1 2024 to -44.99% in Q2 2022. These figures indicate that the company's operating expenses exceeded its revenues during these periods.

The trend shows a general improvement in the operating profit margin over time, with the margin gradually decreasing from Q1 2023 to Q1 2024. This improvement suggests that the company may be managing its operating expenses more effectively or increasing revenues.

However, the consistently negative operating profit margins indicate that Arrowhead Pharmaceuticals Inc. has been struggling to generate profits from its core business operations. Investors and stakeholders may need to closely monitor the company's operational efficiency and revenue generation strategies to assess its long-term financial health and sustainability.