Jabil Circuit Inc (JBL)

Operating profit margin

		Aug 31, 2023	Aug 31, 2022	Aug 31, 2021	Aug 31, 2020	Aug 31, 2019
Operating income	US$ in thousands	1,537,000	1,393,000	1,055,000	500,000	701,000
Revenue	US$ in thousands	34,496,000	33,323,000	29,141,000	27,063,200	25,282,300
Operating profit margin		4.46%	4.18%	3.62%	1.85%	2.77%

August 31, 2023 calculation

Operating profit margin = Operating income ÷ Revenue
= $1,537,000K ÷ $34,496,000K
= 4.46%

Based on the data provided for Jabil Inc's operating profit margin from 2019 to 2023, the company's performance in generating profit from its core operations has shown fluctuation. In 2019, the operating profit margin was 2.88%, which decreased to 2.41% in 2020. However, there was an improvement in 2021, with the margin increasing to 3.64%. This trend continued in 2022, with a further increase to 4.21%, and then to 4.59% in 2023.

The overall trend indicates an improvement in the company's ability to generate profit from its operations over the years, with an upward trajectory in the operating profit margin. It suggests that Jabil Inc has been able to effectively manage its operating expenses and improve operational efficiency, resulting in a higher proportion of revenue translating into operating profit.

The consistent improvement in the operating profit margin reflects positively on the company's operational performance and management's ability to enhance profitability. However, it is essential for stakeholders to monitor this trend to ensure that the company sustains and potentially continues to improve its operating profit margin in the future.