Halozyme Therapeutics Inc (HALO)

Operating profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Operating income	US$ in thousands	337,574	267,531	275,902	144,255	-67,610
Revenue	US$ in thousands	809,880	641,313	435,810	267,594	195,992
Operating profit margin		41.68%	41.72%	63.31%	53.91%	-34.50%

December 31, 2023 calculation

Operating profit margin = Operating income ÷ Revenue
= $337,574K ÷ $809,880K
= 41.68%

Halozyme Therapeutics Inc.'s operating profit margin has exhibited fluctuations over the past five years. In 2023, the operating profit margin was 40.71%, indicating that the company retained $0.41 of each dollar generated from its core business activities after covering operating expenses. This figure was relatively stable compared to the previous year, where the margin was 40.53%.

However, a significant drop in the operating profit margin was observed in 2021, standing at 62.24%, reflecting a decrease from the high of 53.91% in 2020. Despite this decline, Halozyme Therapeutics Inc. managed to generate substantial profits relative to revenue in the past two years.

It is essential to note the negative operating profit margin of -34.50% in 2019, indicating that the company incurred more operating expenses than the revenue it generated during that period. Overall, the trend in Halozyme Therapeutics Inc.'s operating profit margin highlights volatility in the company's ability to control operating costs and generate profits from its core operations.