Allegheny Technologies Incorporated (ATI)
Operating profit margin
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 604,800 | 504,200 | 487,200 | 469,000 | 466,400 | 495,600 | 420,400 | 288,500 | 252,900 | 182,600 | 162,500 | 162,800 | 117,600 | -1,037,700 | -1,077,200 | -1,339,300 | -1,302,700 | -116,100 | -12,000 | 371,400 |
| Revenue (ttm) | US$ in thousands | 4,362,100 | 5,111,700 | 5,917,100 | 5,867,800 | 5,863,000 | 4,951,100 | 4,126,500 | 4,040,000 | 3,836,000 | 3,591,000 | 3,284,700 | 2,941,400 | 2,799,800 | 2,692,700 | 2,565,000 | 2,719,100 | 2,982,100 | 3,342,400 | 3,763,100 | 4,073,200 |
| Operating profit margin | 13.86% | 9.86% | 8.23% | 7.99% | 7.95% | 10.01% | 10.19% | 7.14% | 6.59% | 5.08% | 4.95% | 5.53% | 4.20% | -38.54% | -42.00% | -49.26% | -43.68% | -3.47% | -0.32% | 9.12% |
December 31, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $604,800K ÷ $4,362,100K
= 13.86%
The operating profit margin of Allegheny Technologies Incorporated has shown fluctuation over the period from March 31, 2020, to December 31, 2024.
From March 2020 to December 2021, the company experienced negative operating profit margins, indicating that its operating expenses were significantly high compared to its revenue during this period. This could have been due to various factors such as high production costs, ineffective cost management, or a decline in sales.
However, starting from March 2022, the operating profit margin gradually improved, indicating that the company was able to better control its operating expenses and generate higher profits from its operations. The positive trend continued, with notable increases in the operating profit margin by June 2024 and December 2024.
The significant improvement in the operating profit margin from the negative to positive territory over the analyzed period suggests that Allegheny Technologies Incorporated implemented operational changes or cost-cutting measures that positively impacted its profitability. This improvement indicates that the company may have enhanced its operational efficiency and overall financial performance. It will be important for the company to sustain this positive trend in order to ensure long-term profitability and financial stability.