Flex Ltd (FLEX)

Operating profit margin

Mar 31, 2025 Mar 31, 2024 Mar 31, 2023 Mar 31, 2022 Mar 31, 2021
Operating income US$ in thousands 1,169,000 1,028,000 1,017,000 890,000 795,000
Revenue US$ in thousands 25,813,000 26,415,000 28,502,000 24,633,000 24,124,000
Operating profit margin 4.53% 3.89% 3.57% 3.61% 3.30%

March 31, 2025 calculation

Operating profit margin = Operating income ÷ Revenue
= $1,169,000K ÷ $25,813,000K
= 4.53%

Flex Ltd's operating profit margin has shown a general increasing trend over the past five years. In March 2021, the operating profit margin was 3.30%, which improved steadily to reach 4.53% by March 2025. This indicates that the company has been able to effectively control its operating expenses relative to its revenue, resulting in a higher percentage of operating profit. The increasing trend suggests that Flex Ltd's operational efficiency has been improving over the years, which can be a positive sign for stakeholders. It is essential to monitor this metric closely to assess the company's ability to generate profits from its core business operations.