Cummins Inc (CMI)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 3,750,000 | 1,761,000 | 2,929,000 | 2,706,000 | 2,269,000 |
| Revenue | US$ in thousands | 34,102,000 | 34,065,000 | 28,074,000 | 24,021,000 | 19,811,000 |
| Operating profit margin | 11.00% | 5.17% | 10.43% | 11.27% | 11.45% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $3,750,000K ÷ $34,102,000K
= 11.00%
Cummins Inc's operating profit margin has shown some fluctuations over the past five years. Starting from 11.45% on December 31, 2020, it slightly decreased to 11.27% by December 31, 2021. Subsequently, there was a more significant decline to 10.43% by December 31, 2022. The margin experienced a sharp drop to 5.17% by December 31, 2023, indicating potential challenges in maintaining profitability. However, there was a recovery in the operating profit margin to 11.00% by December 31, 2024. Overall, the trend shows variability in the company's ability to generate profits from its core operations, with the need for tight cost management and strategic planning to sustain and improve margins in the future.
Peer comparison
Dec 31, 2024