Griffon Corporation (GFF)
Operating profit margin
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 398,297 | 196,887 | -189,067 | 170,583 | 139,540 |
| Revenue | US$ in thousands | 2,621,550 | 2,596,560 | 2,760,350 | 2,207,580 | 2,333,180 |
| Operating profit margin | 15.19% | 7.58% | -6.85% | 7.73% | 5.98% |
September 30, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $398,297K ÷ $2,621,550K
= 15.19%
The operating profit margin of Griffon Corporation has shown fluctuations over the past five years. In Sep 30, 2024, the operating profit margin improved significantly to 15.19%, indicating that the company is generating more operating profit for each dollar of revenue compared to the previous year. This could be attributed to improved cost management or higher sales prices.
In Sep 30, 2023, the operating profit margin was 7.58%, which was a moderate increase from the negative operating profit margin of -6.85% in Sep 30, 2022. The drastic improvement from a negative margin to a positive one indicates that the company implemented strategic changes to enhance profitability.
The operating profit margin in Sep 30, 2021, and Sep 30, 2020, was 7.73% and 5.98%, respectively, showing relatively consistent profitability levels during those years.
Overall, the positive trend in operating profit margin over the years indicates that Griffon Corporation has been successful in managing its operating costs and improving operational efficiency to drive profitability.