Keysight Technologies Inc (KEYS)
Operating profit margin
| Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 833,000 | 920,000 | 1,080,000 | 1,257,000 | 1,358,000 | 1,420,000 | 1,412,000 | 1,385,000 | 1,334,000 | 1,304,000 | 1,231,000 | 1,139,000 | 1,080,000 | 1,009,000 | 907,000 | 774,000 | 765,000 | 695,000 | 710,000 | 793,000 |
| Revenue (ttm) | US$ in thousands | 4,979,000 | 5,003,000 | 5,168,000 | 5,342,000 | 5,464,000 | 5,596,000 | 5,590,000 | 5,551,000 | 5,420,000 | 5,271,000 | 5,141,000 | 5,011,000 | 4,941,000 | 4,867,000 | 4,632,000 | 4,306,000 | 4,221,000 | 4,121,000 | 4,197,000 | 4,392,000 |
| Operating profit margin | 16.73% | 18.39% | 20.90% | 23.53% | 24.85% | 25.38% | 25.26% | 24.95% | 24.61% | 24.74% | 23.94% | 22.73% | 21.86% | 20.73% | 19.58% | 17.97% | 18.12% | 16.86% | 16.92% | 18.06% |
October 31, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $833,000K ÷ $4,979,000K
= 16.73%
Keysight Technologies Inc's operating profit margin has shown some fluctuations over the past several quarters. The trend indicates a general decline in operating profit margin from 25.38% in July 2023 to 16.73% in October 2024. This decline could be a cause for concern as it signals a decrease in the company's profitability relative to its revenues.
Although the operating profit margin did experience some variability, it generally remained above 20% from April 2023 to July 2024. However, the recent decrease to 16.73% in October 2024 suggests that the company may be facing challenges in controlling its operating costs or generating sufficient revenues to cover those costs.
It is crucial for the company to closely monitor its operating expenses and revenue generation strategies to ensure that the operating profit margin does not continue to decline. Analyzing the underlying reasons for the fluctuations in the margin and taking appropriate actions to address any weaknesses will be essential for maintaining a healthy level of profitability in the future.
Peer comparison
Oct 31, 2024