Fulgent Genetics Inc (FLGT)
Operating profit margin
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | -195,529 | -80,960 | -80,822 | -48,230 | 178,527 | 365,939 | 524,860 | 610,964 | 675,953 | 751,002 | 655,252 | 558,994 | 290,158 | 63,840 | 1,826 | -519 | -428 | -1,048 | -3,403 | -4,699 |
| Revenue (ttm) | US$ in thousands | 289,213 | 286,412 | 307,380 | 364,868 | 618,968 | 802,935 | 925,148 | 953,423 | 992,584 | 1,035,891 | 909,739 | 773,388 | 421,712 | 135,121 | 43,752 | 34,911 | 32,528 | 29,814 | 25,092 | 22,068 |
| Operating profit margin | -67.61% | -28.27% | -26.29% | -13.22% | 28.84% | 45.58% | 56.73% | 64.08% | 68.10% | 72.50% | 72.03% | 72.28% | 68.80% | 47.25% | 4.17% | -1.49% | -1.32% | -3.52% | -13.56% | -21.29% |
December 31, 2023 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-195,529K ÷ $289,213K
= -67.61%
The operating profit margin of Fulgent Genetics Inc has shown a significant decline in recent quarters. In Q4 2023, the operating profit margin was -26.03%, indicating that the company incurred operating losses exceeding 26% of its total revenue. This marks a continuation of the negative trend observed in Q3 2023 (-28.28%) and Q2 2023 (-26.27%).
The deteriorating operating profit margins are a sharp contrast to the comparatively strong performance seen in the same periods of the previous year. In Q4 2022, the operating profit margin was a robust 29.32%, followed by 45.95% in Q3 2022, 57.05% in Q2 2022, and 64.08% in Q1 2022.
The declining operating profit margin suggests that Fulgent Genetics Inc may be facing challenges that are impacting its ability to generate profits from its core operations. It is crucial for the company to closely examine its cost structure, revenue streams, and overall operational efficiency to reverse this negative trend and improve its profitability in the future.
Peer comparison
Dec 31, 2023