Griffon Corporation (GFF)
Operating profit margin
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 398,297 | 366,031 | 378,877 | 199,620 | 196,887 | -316,095 | -315,066 | -146,452 | -189,067 | 276,986 | 215,878 | 156,720 | 170,657 | 168,538 | 177,926 | 159,844 | 139,540 | 126,181 | 111,181 | 111,337 |
| Revenue (ttm) | US$ in thousands | 2,569,202 | 2,527,910 | 2,540,295 | 2,579,326 | 2,596,635 | 2,667,247 | 2,748,003 | 2,820,103 | 2,760,205 | 2,432,204 | 2,324,089 | 2,184,420 | 2,207,560 | 2,509,033 | 2,492,326 | 2,417,798 | 2,351,128 | 2,264,619 | 2,208,339 | 2,196,705 |
| Operating profit margin | 15.50% | 14.48% | 14.91% | 7.74% | 7.58% | -11.85% | -11.47% | -5.19% | -6.85% | 11.39% | 9.29% | 7.17% | 7.73% | 6.72% | 7.14% | 6.61% | 5.94% | 5.57% | 5.03% | 5.07% |
September 30, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $398,297K ÷ $2,569,202K
= 15.50%
Griffon Corporation's operating profit margin has shown fluctuations over the past few quarters. The operating profit margin improved consistently from the fourth quarter of 2019 until the second quarter of 2021, indicating increasing profitability generated from its core operations. However, in the third quarter of 2021 and the first quarter of 2022, the operating profit margin declined slightly.
In the second quarter of 2022 and continuing through the first quarter of 2023, Griffon Corporation faced challenges as the operating profit margin turned negative, indicating a period of losses from operations. The situation improved in the second and third quarters of 2023 but remained negative.
From the fourth quarter of 2023 onwards, there was a significant improvement in the operating profit margin, reaching a peak of 15.5% in the most recent quarter. This rebound suggests that Griffon Corporation has been able to enhance its profitability by controlling costs and increasing revenues.
Overall, the analysis of Griffon Corporation's operating profit margin highlights a period of volatility and challenges followed by a notable recovery in profitability in the most recent quarters. Monitoring this key financial metric will be crucial to assess the company's operational efficiency and financial performance going forward.