WW Grainger Inc (GWW)
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 | 2,565,000 | 2,552,000 | 2,488,000 | 2,361,000 | 2,215,000 | 2,088,000 | 1,923,000 | 1,723,000 | 1,547,000 | 1,405,000 | 1,347,000 | 1,218,000 | 1,019,000 | 925,000 | 883,000 | 1,058,000 | 1,262,000 | 1,371,000 | 1,222,000 | 1,186,000 |
| Revenue (ttm) | US$ in thousands | 16,387,000 | 16,192,000 | 15,923,000 | 15,580,000 | 15,137,000 | 14,695,000 | 14,128,000 | 13,498,000 | 12,937,000 | 12,539,000 | 12,184,000 | 11,808,000 | 11,725,000 | 11,631,000 | 11,562,000 | 11,624,000 | 11,422,000 | 11,338,000 | 11,221,080 | 11,187,370 |
| Operating profit margin | 15.65% | 15.76% | 15.63% | 15.15% | 14.63% | 14.21% | 13.61% | 12.76% | 11.96% | 11.21% | 11.06% | 10.32% | 8.69% | 7.95% | 7.64% | 9.10% | 11.05% | 12.09% | 10.89% | 10.60% |
December 31, 2023 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $2,565,000K ÷ $16,387,000K
= 15.65%
The operating profit margin of W.W. Grainger Inc. has shown a consistent upward trend over the past eight quarters, indicating improving profitability. In Q4 2023, the operating profit margin reached 15.57%, the highest level among the periods analyzed. The company has been able to effectively control its operating expenses while generating relatively higher revenues, leading to a healthier margin. This steady improvement suggests efficient cost management and operational effectiveness within the company. Overall, the upward trajectory of the operating profit margin showcases W.W. Grainger Inc.'s ability to enhance profitability and create value for its stakeholders.