Eaton Corporation PLC (ETN)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 4,632,000 | 3,822,000 | 2,077,000 | 1,501,000 | 863,000 |
| Revenue | US$ in thousands | 24,878,000 | 23,196,000 | 20,752,000 | 19,628,000 | 17,858,000 |
| Operating profit margin | 18.62% | 16.48% | 10.01% | 7.65% | 4.83% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $4,632,000K ÷ $24,878,000K
= 18.62%
Eaton Corporation PLC has shown a steady improvement in its operating profit margin over the years, indicating enhanced operational efficiency and financial performance. The company's operating profit margin has increased from 4.83% as of December 31, 2020, to 18.62% as of December 31, 2024.
This upward trend suggests that Eaton Corporation PLC has been effectively managing its operating expenses relative to its revenue, resulting in a significant increase in profitability. The consistent growth in operating profit margin reflects the company's ability to generate more operating income for each dollar of sales, which is a positive indication of its operational strength and potential for future growth.
Overall, Eaton Corporation PLC's improving operating profit margin signals a positive trajectory for the company's financial health and performance in the market.
Peer comparison
Dec 31, 2024