Armstrong World Industries Inc (AWI)

Operating profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Operating income	US$ in thousands	374,300	323,700	278,700	260,000	254,800
Revenue	US$ in thousands	1,442,900	1,247,800	1,230,300	1,097,100	912,800
Operating profit margin		25.94%	25.94%	22.65%	23.70%	27.91%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $374,300K ÷ $1,442,900K
= 25.94%

Based on the data provided, Armstrong World Industries Inc's operating profit margin has experienced some fluctuations over the past five years. In 2020, the operating profit margin stood at 27.91%, indicating that the company generated $0.2791 in operating profit for every $1 of sales. However, there was a decrease in the operating profit margin to 23.70% in 2021, followed by a further decline to 22.65% in 2022.

The trend slightly reversed in 2023, with the operating profit margin improving to 25.94%, which was maintained in 2024. This improvement suggests that Armstrong World Industries Inc may have implemented strategies to enhance operational efficiency and control costs.

Overall, while the operating profit margin experienced fluctuations during the period, the company's ability to maintain a margin above 20% indicates sound operational performance and effective cost management measures. It will be important to monitor future trends to assess the sustainability of this improvement.