Dow Inc (DOW)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 8,000 | 479,000 | 2,935,000 | 6,559,000 | 2,749,000 |
| Revenue | US$ in thousands | 42,964,000 | 44,622,000 | 56,902,000 | 54,968,000 | 38,542,000 |
| Operating profit margin | 0.02% | 1.07% | 5.16% | 11.93% | 7.13% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $8,000K ÷ $42,964,000K
= 0.02%
Analyzing the operating profit margin of Dow Inc over the years reveals fluctuations in the company's profitability. In December 2020, the operating profit margin stood at 7.13%, reflecting a moderate level of profitability. Subsequently, there was a notable increase in performance by December 2021, with the operating profit margin improving to 11.93%, indicating enhanced operational efficiency and profitability.
However, the trend reversed in the following years, with a significant decline in the operating profit margin to 5.16% by December 2022, and a further sharp drop to 1.07% by December 2023. These declines suggest potential challenges or inefficiencies impacting the company's profitability and operational performance.
By December 2024, the operating profit margin plummeted to a minimal 0.02%, indicating a substantial decrease in profitability. The declining trend in the operating profit margin over the years raises concerns about Dow Inc's ability to generate profits from its core business operations and underscores the importance of closely monitoring and addressing factors affecting profitability to sustain long-term financial health.
Peer comparison
Dec 31, 2024