Astec Industries Inc (ASTE)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 23,200 | 48,600 | 15,900 | 22,100 | 43,000 |
| Revenue | US$ in thousands | 1,305,100 | 1,338,200 | 1,274,500 | 1,097,200 | 1,024,400 |
| Operating profit margin | 1.78% | 3.63% | 1.25% | 2.01% | 4.20% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $23,200K ÷ $1,305,100K
= 1.78%
The operating profit margin of Astec Industries Inc has shown fluctuations over the past five years.
In December 2020, the operating profit margin was 4.20%, indicating that the company earned 4.20 cents for every dollar of sales after accounting for operating expenses.
However, by December 2021, the operating profit margin decreased to 2.01%, reflecting a decrease in profitability. This could be a potential concern as it represents a significant decline in profitability within just one year.
In the following year, December 2022, the operating profit margin fell further to 1.25%, signaling a continued trend of decreasing profitability. This decrease may raise questions about the company's cost management and operational efficiency.
However, in December 2023, there was a notable improvement in the operating profit margin, which increased to 3.63%. This may indicate that the company implemented strategic measures to enhance its profitability.
Nevertheless, in December 2024, the operating profit margin declined again to 1.78%. This suggests that Astec Industries Inc may be facing challenges in maintaining consistent profitability levels over time.
Overall, the fluctuating trend in the operating profit margin of Astec Industries Inc highlights the importance of closely monitoring and managing operating expenses to sustain and improve profitability in the future.
Peer comparison
Dec 31, 2024