Humana Inc (HUM)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 2,562,000 | 4,013,000 | 3,800,000 | 3,148,000 | 4,986,000 |
| Revenue | US$ in thousands | 117,761,000 | 106,374,000 | 92,870,000 | 83,064,000 | 77,155,000 |
| Operating profit margin | 2.18% | 3.77% | 4.09% | 3.79% | 6.46% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $2,562,000K ÷ $117,761,000K
= 2.18%
Based on the provided data, Humana Inc's operating profit margin has shown a decline over the period from December 31, 2020, to December 31, 2024. The operating profit margin decreased from 6.46% in 2020 to 2.18% in 2024. This indicates that the company's ability to generate profit from its core operations has weakened over time. A declining operating profit margin may suggest challenges in controlling costs, managing expenses, or maintaining sales levels relative to operating costs. It is important for Humana Inc to closely monitor its operating efficiency and profitability trends to ensure sustainable business performance in the future.
Peer comparison
Dec 31, 2024