Avantor Inc (AVTR)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 1,084,800 | 696,400 | 1,130,200 | 972,200 | 706,800 |
| Revenue | US$ in thousands | 6,783,600 | 6,967,200 | 7,512,400 | 7,386,100 | 6,393,600 |
| Operating profit margin | 15.99% | 10.00% | 15.04% | 13.16% | 11.05% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $1,084,800K ÷ $6,783,600K
= 15.99%
The operating profit margin of Avantor Inc has displayed varying trends over the past five years. In December 2020, the operating profit margin stood at 11.05%, indicating that the company generated 11.05 cents of operating profit for every dollar of sales revenue.
By December 2021, the operating profit margin improved to 13.16%, reflecting increased efficiency in managing operating expenses relative to sales. This positive trend continued into December 2022, with the operating profit margin further climbing to 15.04%, suggesting enhanced profitability and potentially stronger operational performance.
However, in December 2023, there was a slight decline in the operating profit margin to 10.00%. This decrease may signal challenges in controlling operating costs or a decrease in sales revenues impacting profitability.
The following year, in December 2024, the operating profit margin rebounded significantly to 15.99%, marking a substantial improvement from the previous year and possibly indicating successful cost management strategies or revenue growth.
Overall, fluctuations in Avantor Inc's operating profit margin over the analyzed period highlight the company's ability to adapt to changing market conditions, manage costs effectively, and drive profitability. Continued monitoring and analysis of this key financial metric will be essential for assessing the company's financial health and operational efficiency.
Peer comparison
Dec 31, 2024