GE Aerospace (GE)

Operating profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Operating income	US$ in thousands	26,994,000	45,321,000	43,418,000	46,149,000	-2,809,000
Revenue	US$ in thousands	38,702,000	35,348,000	58,100,000	74,196,000	75,833,000
Operating profit margin		69.75%	128.21%	74.73%	62.20%	-3.70%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $26,994,000K ÷ $38,702,000K
= 69.75%

The operating profit margin of GE Aerospace has experienced significant fluctuations over the years based on the provided data. The margin was negative at -3.70% as of December 31, 2020, indicating that the company's operating expenses were higher than its operating income during that period.

However, there was a substantial turnaround in the following years, with the operating profit margins increasing to 62.20% as of December 31, 2021, and further to 74.73% as of December 31, 2022. These improvements suggest that GE Aerospace was able to effectively control its operating expenses and generate higher operating income relative to revenue.

The most notable surge in operating profit margin occurred on December 31, 2023, when it reached an exceptionally high level of 128.21%. This significant increase indicates a strong performance in managing costs and maximizing profitability during that period.

Although there was a slight decrease in operating profit margin to 69.75% as of December 31, 2024, the company maintains a relatively high level of profitability compared to previous years. Overall, the trend in GE Aerospace's operating profit margin demonstrates a mix of challenges and successful strategies in optimizing operational efficiency and financial performance.