EMCOR Group Inc (EME)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 875,756 | 564,877 | 530,800 | 256,834 | 460,892 |
| Revenue | US$ in thousands | 12,582,900 | 11,076,100 | 9,903,580 | 8,797,060 | 9,174,610 |
| Operating profit margin | 6.96% | 5.10% | 5.36% | 2.92% | 5.02% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $875,756K ÷ $12,582,900K
= 6.96%
The operating profit margin of Emcor Group, Inc. has shown a fluctuating trend over the past five years. In 2023, the operating profit margin improved to 6.98% from 5.10% in 2022, indicating stronger operating efficiency and profitability. This increase suggests that the company was able to control its operating expenses more effectively or generate higher revenues relative to its operating costs in 2023.
Comparing the data further, the operating profit margin in 2021 was 5.36%, slightly lower than in 2020 at 5.59%. However, both figures were higher than the 5.04% reported in 2019. This indicates a general positive trend in operating efficiency and profitability over the period, despite some fluctuations.
It is essential for Emcor Group, Inc. to continue monitoring and improving its operating profit margin to ensure sustainable profitability and operational effectiveness. Management should focus on optimizing costs, enhancing revenue generation, and maintaining a balance between expenses and income to drive overall financial performance.
Peer comparison
Dec 31, 2023