KAR Auction Services Inc (KAR)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 182,200 | -5,200 | 173,700 | 210,600 | 136,400 |
| Revenue | US$ in thousands | 1,788,500 | 1,645,100 | 1,519,400 | 2,251,600 | 2,187,700 |
| Operating profit margin | 10.19% | -0.32% | 11.43% | 9.35% | 6.23% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $182,200K ÷ $1,788,500K
= 10.19%
The operating profit margin of KAR Auction Services Inc has shown fluctuations over the years based on the provided data.
- As of December 31, 2020, the operating profit margin was 6.23%, indicating that the company generated 6.23% of revenue as operating profit.
- By December 31, 2021, the operating profit margin improved to 9.35%, suggesting better operational efficiency and profitability.
- The margin continued to increase significantly by December 31, 2022, reaching 11.43%, which reflects a strong performance in converting revenue into operating profit.
- However, there was a notable decline in the operating profit margin by December 31, 2023, to -0.32%, indicating that the company's operating expenses exceeded its operating profit during that period.
- The company managed to recover and improve its operating profit margin by December 31, 2024, to 10.19%.
Overall, the operating profit margin trend indicates some volatility, with periods of improvement and decline. It is important for KAR Auction Services Inc to closely monitor and manage its operating expenses to ensure sustainable profitability in the long term.
Peer comparison
Dec 31, 2024