Knight Transportation Inc (KNX)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 338,153 | 1,091,830 | 965,697 | 564,438 | 427,438 |
| Revenue | US$ in thousands | 7,141,770 | 7,428,580 | 5,998,020 | 4,673,860 | 4,843,950 |
| Operating profit margin | 4.73% | 14.70% | 16.10% | 12.08% | 8.82% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $338,153K ÷ $7,141,770K
= 4.73%
The operating profit margin of Knight-Swift Transportation Holdings Inc has exhibited fluctuations over the past five years. In 2023, the operating profit margin decreased to 4.77%, marking a significant decline from the previous year's strong performance of 14.71% in 2022. However, it is important to note that despite the decrease in 2023, the operating profit margin remained positive.
Looking at the trend over the past five years, we observe that there was a notable increase in the operating profit margin from 8.90% in 2019 to 16.11% in 2021, indicating an improvement in the company's profitability during this period. The subsequent decline to 12.19% in 2020 was followed by the aforementioned decrease in 2023.
These fluctuations in the operating profit margin could be attributed to various factors such as changes in operating expenses, revenue changes, or macroeconomic conditions affecting the transportation industry. It would be important for stakeholders to further investigate the reasons behind the decline in the operating profit margin in 2023 and assess the company's strategies to address any potential challenges impacting profitability.
Peer comparison
Dec 31, 2023