Ecolab Inc (ECL)

Operating profit margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Operating income (ttm)	US$ in thousands	2,846,900	2,881,200	2,402,400	2,214,400	2,019,400	1,801,500	1,497,800	1,227,300	938,400	926,900	1,130,400	1,364,000	1,598,600	1,627,000	1,572,600	1,316,800	1,416,700	1,561,000	1,737,200	2,043,800
Revenue (ttm)	US$ in thousands	15,741,400	15,674,600	15,634,200	15,500,500	15,320,200	15,053,000	14,764,200	14,492,700	14,187,800	13,881,200	13,532,700	13,114,800	12,733,100	12,433,800	12,131,600	11,654,600	12,351,000	13,109,300	13,908,600	14,982,300
Operating profit margin		18.09%	18.38%	15.37%	14.29%	13.18%	11.97%	10.14%	8.47%	6.61%	6.68%	8.35%	10.40%	12.55%	13.09%	12.96%	11.30%	11.47%	11.91%	12.49%	13.64%

December 31, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $2,846,900K ÷ $15,741,400K
= 18.09%

Ecolab Inc's operating profit margin has shown fluctuations over the time period from March 31, 2020, to December 31, 2024. The operating profit margin started at 13.64% in March 2020 and declined gradually to a low of 6.61% by December 2022. However, there was a notable increase in the operating profit margin from March 2023 onwards, reaching a peak of 18.38% in September 30, 2024.

The operating profit margin is a key financial metric that reflects the company's efficiency in managing its operations and generating profits from its core business activities. Ecolab Inc's improving operating profit margin from March 2023 indicates better cost management or increased revenue generation relative to its operating costs. The substantial increase in the operating profit margin by the end of 2024 suggests that the company has been able to enhance its profitability significantly.

It is essential for investors and stakeholders to monitor Ecolab Inc's operating profit margin regularly as it provides insights into the company's operational performance and profitability levels. The company's ability to maintain or improve its operating profit margin in the future will be crucial for sustaining its financial health and creating value for its shareholders.