Enphase Energy Inc (ENPH)

Operating profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Operating income	US$ in thousands	77,292	445,741	448,261	215,832	186,439
Revenue	US$ in thousands	1,330,380	2,290,790	2,330,850	1,382,050	774,425
Operating profit margin		5.81%	19.46%	19.23%	15.62%	24.07%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $77,292K ÷ $1,330,380K
= 5.81%

The operating profit margin of Enphase Energy Inc has shown fluctuating trends over the past five years. Starting at a healthy level of 24.07% on December 31, 2020, the margin declined to 15.62% by December 31, 2021. However, there was a slight recovery in the following years, with margins improving to 19.23% on December 31, 2022 and 19.46% on December 31, 2023.

Unfortunately, the operating profit margin took a significant hit on December 31, 2024, dropping to 5.81%. This last year's decrease in the margin may indicate potential challenges or inefficiencies in Enphase Energy Inc's operations, affecting its ability to generate profits from its core business activities. Continued monitoring of the company's operational performance and efficiency measures may be necessary to address this decline and improve the overall profitability of the business.