International Paper (IP)

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 557,000 374,000 416,000 392,000 543,000 1,150,000 1,471,000 1,834,000 1,936,000 1,503,000 1,540,000 1,427,000 1,438,000 1,812,000 1,743,000 1,660,000 1,678,000 1,894,000 2,058,000 2,285,000
Revenue (ttm) US$ in thousands 18,619,000 18,640,000 18,567,000 18,515,000 18,916,000 19,448,000 20,237,000 20,944,000 21,161,000 21,114,000 21,426,000 21,653,000 21,779,000 21,932,000 21,341,000 20,591,000 20,580,000 20,839,000 21,284,000 22,085,000
Operating profit margin 2.99% 2.01% 2.24% 2.12% 2.87% 5.91% 7.27% 8.76% 9.15% 7.12% 7.19% 6.59% 6.60% 8.26% 8.17% 8.06% 8.15% 9.09% 9.67% 10.35%

December 31, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $557,000K ÷ $18,619,000K
= 2.99%

The operating profit margin of International Paper has shown some fluctuations over the period from March 31, 2020, to December 31, 2024. Starting at 10.35% in March 2020, the operating profit margin decreased gradually to 6.59% in March 2022. This decline was followed by a slight increase to 9.15% in December 2022. However, the operating profit margin experienced a notable decrease to 2.87% by the end of December 2023 and continued to decline to 2.99% by the end of December 2024.

The downward trend in the operating profit margin from 2022 onwards may indicate challenges in maintaining profitability relative to revenue and highlighting potential issues with cost management or pricing strategies. Investors and stakeholders may need to closely monitor the company's operational efficiency and profitability performance to assess the sustainability of its financial health and strategic decision-making.


Peer comparison

Dec 31, 2024

Company name
Symbol
Operating profit margin
International Paper
IP
2.99%
Mativ Holdings Inc.
MATV
1.64%
Sylvamo Corp
SLVM
13.07%