Leidos Holdings Inc (LDOS)

Operating profit margin

Dec 31, 2024 Sep 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019
Operating income (ttm) US$ in thousands 1,713,000 956,000 771,000 621,000 525,000 1,142,000 1,082,000 1,088,000 1,093,000 1,117,000 1,115,000 1,152,000 1,181,000 1,134,000 1,114,000 998,000 960,000 951,000 912,000 912,000
Revenue (ttm) US$ in thousands 16,510,000 16,066,000 15,714,000 15,438,000 15,155,000 14,842,000 14,601,000 14,396,000 14,190,000 14,065,000 13,916,000 13,737,000 13,498,000 13,257,000 12,723,000 12,297,000 11,999,000 11,592,000 11,406,000 11,094,000
Operating profit margin 10.38% 5.95% 4.91% 4.02% 3.46% 7.69% 7.41% 7.56% 7.70% 7.94% 8.01% 8.39% 8.75% 8.55% 8.76% 8.12% 8.00% 8.20% 8.00% 8.22%

December 31, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $1,713,000K ÷ $16,510,000K
= 10.38%

The operating profit margin of Leidos Holdings Inc has shown fluctuations over the reported periods from December 2019 to December 2024. The margin started at 8.22% in December 2019, dipped to 7.46% by September 2023, but recovered to 10.38% by December 2024.

This indicates that the company experienced some challenges in maintaining a consistent level of operating profitability during this period, potentially facing operational inefficiencies or cost pressures. It is worth noting that the operating profit margin is a key indicator of operational efficiency and profitability, reflecting the company's ability to generate profits from its core business activities after accounting for variable costs.

The gradual recovery in the operating profit margin from September 2023 to December 2024 suggests that Leidos Holdings Inc implemented strategies to improve its operational performance and control costs, resulting in higher profitability. Investors and analysts may closely monitor future financial reports to assess the sustainability of this positive trend in the company's operating profit margin.