H2O America (HTO)

Operating profit margin

		Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	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
Operating income (ttm)	US$ in thousands	181,781	178,486	170,503	163,329	161,582	152,170	149,435	163,327	144,323	139,567	130,978	112,260	108,432	114,669	111,159	103,782	111,891	115,322	117,670	99,396
Revenue (ttm)	US$ in thousands	788,737	766,656	748,439	721,957	701,737	682,449	670,363	670,399	641,537	633,692	620,698	589,061	580,003	583,203	573,686	569,649	568,589	563,557	564,526	554,664
Operating profit margin		23.05%	23.28%	22.78%	22.62%	23.03%	22.30%	22.29%	24.36%	22.50%	22.02%	21.10%	19.06%	18.70%	19.66%	19.38%	18.22%	19.68%	20.46%	20.84%	17.92%

June 30, 2025 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $181,781K ÷ $788,737K
= 23.05%

The operating profit margin of H2O America exhibits a generally positive trend over the analyzed period, reflecting the company's capacity to generate operating profit relative to its revenue. Starting at 17.92% on September 30, 2020, the margin increased over time, reaching a peak of approximately 24.36% on September 30, 2023. This upward trend indicates improved operational efficiency and profitability during this period.

Throughout the timeline, fluctuations are observed, with minor declines in some quarters—such as from 20.84% at year-end 2020 to 19.68% at the end of June 2021, or from 21.10% at the end of 2022 to around 22.29% in early 2024. Despite these short-term variations, the general direction remains upward, suggesting a resilient operating performance.

Post-September 2023, the margin stabilizes around the low 22% range, maintaining consistency through March 2025, with values around 23%. This stability implies the company has successfully managed expenses and revenue generation strategies to sustain healthy operating profitability.

In summary, H2O America’s operating profit margin has demonstrated a positive growth trajectory over the analyzed period, reflecting enhanced operating efficiency, improved cost management, or increased revenue contribution from profitable products or services. The margins indicate a strong operational position with the capacity to sustain profitability levels, aligning with overall favorable financial health indications.