HealthEquity Inc (HQY)

Operating profit margin

		Jan 31, 2024	Jan 31, 2023	Jan 31, 2022	Jan 31, 2021	Jan 31, 2020
Operating income	US$ in thousands	117,699	9,057	-24,238	34,014	77,006
Revenue	US$ in thousands	945,655	815,511	717,771	700,488	507,971
Operating profit margin		12.45%	1.11%	-3.38%	4.86%	15.16%

January 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $117,699K ÷ $945,655K
= 12.45%

HealthEquity Inc's operating profit margin has been quite variable over the past five years. The company experienced a significant improvement in its operating profit margin in the most recent fiscal year ending January 31, 2024, with a margin of 12.45%. This is a vast improvement compared to the previous year, where the margin was only 1.11%.

In the fiscal year ending January 31, 2022, HealthEquity reported a negative operating profit margin of -3.38%, indicating that the company's operating expenses exceeded its revenues. However, in the fiscal years ending January 31, 2021 and January 31, 2020, the company had positive operating profit margins of 4.86% and 15.16% respectively.

The fluctuation in HealthEquity's operating profit margin over the years suggests variability in the company's ability to control its operating expenses and generate profits from its core operations. Investors and analysts may want to further investigate the factors contributing to these fluctuations to assess the company's operational efficiency and financial performance.