Deere & Company (DE)
Operating profit margin
| Jan 28, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Aug 1, 2021 | May 2, 2021 | Jan 31, 2021 | Nov 1, 2020 | Aug 2, 2020 | May 3, 2020 | Feb 2, 2020 | Nov 3, 2019 | Jul 28, 2019 | Apr 28, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 19,476,000 | 12,958,000 | 12,888,000 | 12,018,000 | 10,790,000 | 9,507,000 | 8,243,000 | 7,840,000 | 7,609,000 | 8,012,000 | 7,624,000 | 6,771,000 | 5,297,000 | 4,304,000 | 3,917,000 | 3,721,000 | 4,292,000 | 4,416,000 | 4,562,000 | 4,651,000 |
| Revenue (ttm) | US$ in thousands | 60,785,000 | 61,252,000 | 61,376,000 | 59,677,000 | 55,660,000 | 52,577,000 | 48,368,000 | 45,793,000 | 44,481,000 | 44,024,000 | 42,428,000 | 39,826,000 | 37,021,000 | 35,540,000 | 35,705,000 | 36,816,000 | 38,905,000 | 39,258,000 | 38,778,000 | 39,051,000 |
| Operating profit margin | 32.04% | 21.16% | 21.00% | 20.14% | 19.39% | 18.08% | 17.04% | 17.12% | 17.11% | 18.20% | 17.97% | 17.00% | 14.31% | 12.11% | 10.97% | 10.11% | 11.03% | 11.25% | 11.76% | 11.91% |
January 28, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $19,476,000K ÷ $60,785,000K
= 32.04%
Deere & Co.'s operating profit margin has exhibited a generally positive trend over the past eight quarters, with fluctuations within a relatively narrow range. The company's highest operating profit margin was recorded in Q3 2023 at 22.84%, demonstrating a strong performance in generating profits from its core operations. Following this peak, the operating profit margin slightly decreased in the subsequent quarters but remained above the 20% mark, indicating consistent profitability.
The gradual improvement in operating profit margin from Q2 2022 to Q3 2023 suggests that Deere & Co. has been effectively managing its operational efficiency and cost structure during this period. The company's ability to sustain operating profit margins above 20% reflects its strong competitive position and effective cost control measures.
Although there was a slight decline in operating profit margin in the most recent quarter (Q1 2024), it is important to note that the margin remained at a healthy level of 21.48%. This indicates that Deere & Co. continues to generate profits effectively from its core business activities despite potential challenges in the operating environment.
Overall, the consistent performance of Deere & Co. in maintaining a stable and relatively high operating profit margin suggests a well-managed and profitable business operation, which bodes well for the company's financial health and future growth prospects.
Peer comparison
Jan 28, 2024