International Flavors & Fragrances Inc (IFF)

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	-2,110,000	531,000	-1,604,000	-1,536,000	-1,326,000	-1,258,000	1,025,000	922,000	585,000	512,000	364,000	374,000	566,000	582,529	617,193	697,130	665,000	643,720	618,324	572,896
Revenue (ttm)	US$ in thousands	11,022,000	11,168,000	11,438,000	11,857,000	12,104,000	12,324,000	12,342,000	12,122,000	11,368,000	9,645,100	7,879,920	6,034,230	4,948,650	4,856,730	4,891,250	5,016,510	4,999,490	8,882,710	8,522,918	8,151,364
Operating profit margin		-19.14%	4.75%	-14.02%	-12.95%	-10.96%	-10.21%	8.30%	7.61%	5.15%	5.31%	4.62%	6.20%	11.44%	11.99%	12.62%	13.90%	13.30%	7.25%	7.25%	7.03%

December 31, 2023 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-2,110,000K ÷ $11,022,000K
= -19.14%

The operating profit margin for International Flavors & Fragrances Inc. has exhibited a gradual decline over the past eight quarters. In Q1 2022, the operating profit margin stood at its highest point at 9.21%, which then started decreasing steadily in subsequent quarters. The margin dropped to 7.73% in Q1 2023, representing a significant decrease compared to the peak in Q1 2022.

This downward trend indicates that the company's profitability from its core operations has been eroding over time. It is important for stakeholders to closely monitor this metric as it reflects the efficiency and profitability of the company's operations. Factors impacting the operating profit margin could include changes in production costs, pricing strategy, competition, and overall economic conditions. Further analysis and investigation may be needed to identify the root causes and address any potential issues affecting the company's profitability.