ITT Inc (ITT)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 676,000 | 528,200 | 468,000 | 504,300 | 226,500 |
| Revenue | US$ in thousands | 3,630,700 | 3,283,000 | 2,987,700 | 2,765,000 | 2,477,800 |
| Operating profit margin | 18.62% | 16.09% | 15.66% | 18.24% | 9.14% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $676,000K ÷ $3,630,700K
= 18.62%
The operating profit margin of ITT Inc has exhibited a positive trend over the years, indicating an improvement in the company's operational efficiency and profitability. From December 31, 2020, where the operating profit margin was 9.14%, there has been a steady increase, reaching 18.62% by December 31, 2024. This growth demonstrates the company's ability to generate more profit from its operations relative to its revenue.
The significant rise in the operating profit margin from 2020 to 2021, a jump from 9.14% to 18.24%, suggests a substantial improvement in cost management and revenue generation strategies. Although there was a slight decrease to 15.66% in 2022, the margin rebounded and continued to increase in the following years, reaching 16.09% by 2023 and peaking at 18.62% in 2024.
Overall, the upward trajectory of ITT Inc's operating profit margin reflects the company's efforts to enhance its operational efficiency and effectiveness in generating profits. This positive trend bodes well for the company's financial health and long-term sustainability.
Peer comparison
Dec 31, 2024