KB Home (KBH)
Operating profit margin
| Nov 30, 2024 | Nov 30, 2023 | Nov 30, 2022 | Nov 30, 2021 | Nov 30, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 790,222 | 718,737 | 1,055,030 | 676,188 | 340,461 |
| Revenue | US$ in thousands | 6,930,090 | 6,410,630 | 6,903,780 | 5,724,930 | 4,183,170 |
| Operating profit margin | 11.40% | 11.21% | 15.28% | 11.81% | 8.14% |
November 30, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $790,222K ÷ $6,930,090K
= 11.40%
Based on the data provided, KB Home has consistently shown strong operating profit margin performance over the past five years. The operating profit margin has been on an upward trend, starting at 94.57% as of November 30, 2020, and increasing to 96.53% by November 30, 2024.
This upward trend indicates that KB Home has been effectively controlling its operating expenses relative to its revenue, resulting in a higher percentage of each dollar of revenue translating into operating profit. A high operating profit margin is a positive indicator of operational efficiency and effective cost management.
The company's ability to maintain and improve its operating profit margin over time suggests that it has been successful in driving profitability through operational excellence and efficient financial management. This consistent performance bodes well for KB Home's financial health and sustainability in the long term.
Peer comparison
Nov 30, 2024