CEVA Inc (CEVA)

Operating profit margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Operating income US$ in thousands -7,545 -13,467 4,214 1,524 -763
Revenue US$ in thousands 106,939 97,419 134,648 122,706 100,326
Operating profit margin -7.06% -13.82% 3.13% 1.24% -0.76%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $-7,545K ÷ $106,939K
= -7.06%

CEVA Inc's operating profit margin has displayed fluctuations over the years as per the available data. The margin was negative at -0.76% on December 31, 2020, indicating a loss from operations. However, there was improvement in profitability as the margin increased to 1.24% by December 31, 2021, and further to 3.13% by December 31, 2022, suggesting better operational efficiency and potential growth.

However, the trend reversed in the following years, with a significant decline in the operating profit margin to -13.82% by December 31, 2023, and further to -7.06% by December 31, 2024. These negative margins indicate that the company's operating expenses exceeded its operating income, resulting in operating losses during these periods.

Overall, CEVA Inc's operating profit margin has shown a mix of positive and negative trends, highlighting the importance of consistent monitoring and strategic management of operational costs and revenue generation to ensure sustainable profitability in the long run.