Globus Medical (GMED)

Operating profit margin

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 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Operating income (ttm) US$ in thousands 133,142 177,047 236,345 237,909 227,951 192,123 185,750 163,850 171,953 212,288 208,972 137,533 111,433 102,877 94,925 163,357 171,988 122,009 118,249 117,519
Revenue (ttm) US$ in thousands 1,568,476 1,226,440 1,096,949 1,068,982 1,022,843 998,366 973,939 961,307 958,102 941,526 927,903 825,809 789,042 767,264 747,381 792,998 785,368 769,639 742,660 721,505
Operating profit margin 8.49% 14.44% 21.55% 22.26% 22.29% 19.24% 19.07% 17.04% 17.95% 22.55% 22.52% 16.65% 14.12% 13.41% 12.70% 20.60% 21.90% 15.85% 15.92% 16.29%

December 31, 2023 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $133,142K ÷ $1,568,476K
= 8.49%

The operating profit margin of Globus Medical Inc has displayed some fluctuations over the past eight quarters. In Q4 2023, the operating profit margin was reported at 12.87%, marking a decrease from the previous quarter's figure of 19.38%. This decline raises concerns about the company's ability to efficiently convert revenue into profit from core operations during this period.

Comparing the current quarter to the same quarter in the previous year, there is a noticeable decrease in operating profit margin from 23.10% in Q4 2022 to 12.87% in Q4 2023. This indicates a significant decline in profitability over the year. It is crucial for the company to closely monitor and address the factors contributing to this decrease to ensure long-term financial health.

Overall, while there have been fluctuations in the operating profit margin of Globus Medical Inc, the recent trend suggests a decline in profitability. Further analysis and action may be necessary to improve operational efficiency and sustain profitability in the future quarters.


Peer comparison

Dec 31, 2023