Quaker Chemical Corporation (KWR)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 214,495 | 52,304 | 150,466 | 59,360 | 46,134 |
| Revenue | US$ in thousands | 1,882,550 | 1,894,680 | 1,740,470 | 1,384,720 | 1,116,840 |
| Operating profit margin | 11.39% | 2.76% | 8.65% | 4.29% | 4.13% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $214,495K ÷ $1,882,550K
= 11.39%
Quaker Houghton's operating profit margin has shown fluctuations over the past five years. The company experienced a downward trend in 2020 with a margin of 9.36%, possibly due to increased operating expenses or a decline in revenue. However, the margin slightly recovered in 2021 to 9.98% and further improved in 2022 to 8.09%. In the most recent year, 2023, the operating profit margin reached 11.37%, indicating improved profitability compared to the previous years.
It is essential for the company to continue monitoring and managing its operating expenses effectively while seeking opportunities to enhance revenue generation in order to sustain and potentially improve its operating profit margin in the future.
Peer comparison
Dec 31, 2023