Etsy Inc (ETSY)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 380,208 | 279,841 | -658,560 | 465,732 | 424,009 |
| Revenue | US$ in thousands | 2,808,330 | 2,748,380 | 2,566,110 | 2,329,110 | 1,725,620 |
| Operating profit margin | 13.54% | 10.18% | -25.66% | 20.00% | 24.57% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $380,208K ÷ $2,808,330K
= 13.54%
The operating profit margin of Etsy Inc has exhibited some fluctuation over the past five years. In 2020, the operating profit margin stood at 24.57%, indicating a healthy level of profitability. However, in 2021, there was a slight decline to 20.00%. The trend took a sharp downturn in 2022, with a negative operating profit margin of -25.66%, signaling a period of operational challenges.
The company managed to improve its performance in 2023, with the operating profit margin rising to 10.18%, showing signs of recovery. By the end of 2024, Etsy Inc achieved a further improvement, with the operating profit margin reaching 13.54%. Overall, the operating profit margin exhibited variability in recent years, with the company facing challenges in 2022 but making strides towards recovery in the subsequent years. It is important for the company to maintain a sustainable operating profit margin overtime to ensure long-term profitability and financial health.
Peer comparison
Dec 31, 2024