Illumina Inc (ILMN)
Operating profit margin
| 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 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | -832,000 | -1,171,000 | -2,666,000 | -1,117,000 | -1,070,000 | -1,033,000 | -3,936,000 | -4,427,000 | -4,179,000 | -4,011,000 | -899,000 | -133,000 | -124,000 | -32,000 | 675,000 | 584,000 | 580,000 | 715,000 | 861,000 | 970,000 |
| Revenue (ttm) | US$ in thousands | 4,372,000 | 4,390,000 | 4,429,000 | 4,493,000 | 4,504,000 | 4,465,000 | 4,461,000 | 4,447,000 | 4,583,000 | 4,699,000 | 4,692,000 | 4,656,000 | 4,526,000 | 4,280,000 | 3,966,000 | 3,473,000 | 3,239,000 | 3,238,000 | 3,351,000 | 3,556,000 |
| Operating profit margin | -19.03% | -26.67% | -60.19% | -24.86% | -23.76% | -23.14% | -88.23% | -99.55% | -91.18% | -85.36% | -19.16% | -2.86% | -2.74% | -0.75% | 17.02% | 16.82% | 17.91% | 22.08% | 25.69% | 27.28% |
December 31, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-832,000K ÷ $4,372,000K
= -19.03%
The operating profit margin of Illumina Inc has experienced a significant decline over the analyzed period. Starting at a healthy level of 27.28% in March 2020, the margin gradually decreased to 17.91% by December 2020. Subsequently, there was a more pronounced decline to 16.82% in March 2021 before a slight uptick to 17.02% in June 2021.
However, the trend then reversed sharply as the operating profit margin turned negative, indicating that the operating expenses exceeded the company's operating income. The margin continued to deteriorate, reaching its lowest point at -99.55% in March 2023. There was a slight recovery thereafter, with some fluctuations, but the margin remained in negative territory, indicating significant challenges in controlling operating costs relative to revenues.
Overall, the declining trend in Illumina Inc's operating profit margin highlights potential issues with the company's operational efficiency and cost management strategies, which may require closer attention and strategic interventions to reverse the negative trajectory and improve profitability.
Peer comparison
Dec 31, 2024