Five Below Inc (FIVE)

Operating profit margin

Jan 31, 2025 Feb 3, 2024 Jan 31, 2024 Jan 31, 2023 Jan 28, 2023
Operating income US$ in thousands 323,817 385,571 385,571 345,043 345,043
Revenue US$ in thousands 3,876,530 3,559,370 3,559,370 3,076,310 3,076,310
Operating profit margin 8.35% 10.83% 10.83% 11.22% 11.22%

January 31, 2025 calculation

Operating profit margin = Operating income ÷ Revenue
= $323,817K ÷ $3,876,530K
= 8.35%

The operating profit margin of Five Below Inc has shown a slight decline over the past few years based on the provided data. Starting at 11.22% in January 2023, the margin remained consistent for the next year until January 2024. However, from January 2024 to January 2025, there was a noticeable decrease in the operating profit margin to 8.35%.

This downward trend in the operating profit margin indicates that the company's profitability in relation to its revenue has weakened over time. It could suggest that Five Below Inc may be facing challenges in controlling its operating expenses or generating sufficient revenue to maintain previous levels of profitability. Further analysis of the company's cost structure and revenue generation strategies may be needed to address this decline in the operating profit margin.