GE Aerospace (GE)

Operating profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Operating income	US$ in thousands	45,321,000	43,418,000	46,149,000	-2,809,000	-9,338,000
Revenue	US$ in thousands	67,954,000	58,100,000	74,196,000	75,833,000	90,221,000
Operating profit margin		66.69%	74.73%	62.20%	-3.70%	-10.35%

December 31, 2023 calculation

Operating profit margin = Operating income ÷ Revenue
= $45,321,000K ÷ $67,954,000K
= 66.69%

General Electric Co.'s operating profit margin has exhibited variability over the past five years. In 2023, the operating profit margin improved to 5.26% compared to 3.52% in 2022. This suggests that the company managed its operating expenses more efficiently in 2023, leading to a higher proportion of revenues translating into operating profits.

The operating profit margin was relatively strong in 2021 at 4.96%, indicating effective cost management and revenue generation strategies. However, in 2020, the company reported a negative operating profit margin of -1.03%, reflecting operational challenges and potentially higher costs relative to its revenues that year.

In 2019, General Electric Co. exhibited a robust operating profit margin of 5.68%, indicating solid operational performance. The fluctuations in the operating profit margin over the years highlight the importance for the company to continuously monitor and manage its operational efficiency and cost structure to sustain profitability and achieve consistent financial performance.