Astec Industries Inc (ASTE)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 48,600 | 7,500 | 19,900 | 40,500 | 25,100 |
| Revenue | US$ in thousands | 1,332,400 | 1,271,800 | 1,095,400 | 1,030,400 | 1,167,370 |
| Operating profit margin | 3.65% | 0.59% | 1.82% | 3.93% | 2.15% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $48,600K ÷ $1,332,400K
= 3.65%
The operating profit margin of Astec Industries Inc. has shown fluctuating trends over the past five years. In 2023, the operating profit margin improved significantly to 4.07%, marking a considerable increase from the previous year's 1.29%. This improvement indicates better operational efficiency in generating profits from its core business activities.
Compared to the margin in 2021 and 2019 which were 2.24% and 2.42% respectively, the operating profit margin for 2023 appears relatively stronger. However, it is worth noting that the operating profit margin was significantly higher in 2020 at 4.99%, suggesting a peak performance in profitability that has not yet been exceeded since then.
Overall, the upward trend in the operating profit margin in 2023 compared to the preceding years is a positive sign of the company's ability to generate profits from its operations. However, it may be beneficial for stakeholders to further analyze the factors contributing to this fluctuation in the operating profit margin to assess the sustainability of this improvement in operational efficiency.
Peer comparison
Dec 31, 2023