H B Fuller Company (FUL)
Operating profit margin
| Dec 2, 2023 | Dec 3, 2022 | Nov 27, 2021 | Nov 28, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 355,137 | 322,718 | 252,612 | 218,317 | 225,994 |
| Revenue | US$ in thousands | 3,510,930 | 3,749,180 | 3,278,030 | 2,790,270 | 2,897,000 |
| Operating profit margin | 10.12% | 8.61% | 7.71% | 7.82% | 7.80% |
December 2, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $355,137K ÷ $3,510,930K
= 10.12%
The operating profit margin for H.B. Fuller Company has shown a positive trend over the past five years. In 2019, the margin was 7.80%, and it has since steadily increased to 10.12% in 2023. This indicates an improvement in the company's ability to generate profit from its core operations over the years. The company has managed to enhance its operational efficiency and/or increase revenue relative to its operating costs, which is a positive sign for its financial performance. This trend suggests that H.B. Fuller Company has been effectively managing its operating expenses, increasing its pricing power, or optimizing its production processes. Overall, the rising operating profit margin reflects a favorable trend in the company's ability to generate profits from its primary business activities.