Chemed Corp (CHE)

Operating profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Operating income	US$ in thousands	366,493	340,569	343,496	343,038	389,680
Revenue	US$ in thousands	2,431,290	2,264,420	2,134,960	2,139,260	2,079,580
Operating profit margin		15.07%	15.04%	16.09%	16.04%	18.74%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $366,493K ÷ $2,431,290K
= 15.07%

Chemed Corp's operating profit margin has shown a slight decline over the past five years. In 2020, the margin was 18.74%, indicating that the company generated a profit of $0.1874 for every dollar of sales after accounting for operating expenses. However, by 2024, the operating profit margin had decreased to 15.07%. This decline suggests that Chemed Corp may be facing challenges in controlling its operating costs or generating higher revenues to maintain profitability. Further analysis of the company's cost structure and revenue streams may be necessary to address the downward trend in operating profit margin.