Barnes Group Inc (B)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 89,000 | 57,119 | 150,000 | 123,400 | 236,448 |
| Revenue | US$ in thousands | 1,388,550 | 1,247,580 | 1,243,100 | 1,107,020 | 1,463,750 |
| Operating profit margin | 6.41% | 4.58% | 12.07% | 11.15% | 16.15% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $89,000K ÷ $1,388,550K
= 6.41%
Barnes Group Inc.'s operating profit margin has shown a declining trend over the past five years. The operating profit margin decreased from 15.86% in 2019 to 6.13% in 2023. This indicates that the company's ability to generate profit from its core business operations has weakened.
The significant drop in the operating profit margin from 2019 to 2020 could be attributed to various factors such as increased operating expenses, declining sales, or inefficient cost management. The subsequent fluctuations in the following years may reflect the company's efforts to improve profitability through cost-cutting measures or revenue-enhancing strategies.
Overall, the downward trend in Barnes Group Inc.'s operating profit margin raises concerns about its operational efficiency and profitability sustainability. Further analysis of the company's financial and operational performance is necessary to understand the underlying reasons for this trend and to evaluate its future prospects.
Peer comparison
Dec 31, 2023