Mercer International Inc (MERC)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | -188,774 | 392,368 | 346,583 | 63,729 | 84,003 |
| Revenue | US$ in thousands | 1,902,410 | 2,225,980 | 1,713,880 | 1,327,140 | 1,535,420 |
| Operating profit margin | -9.92% | 17.63% | 20.22% | 4.80% | 5.47% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $-188,774K ÷ $1,902,410K
= -9.92%
Mercer International Inc.'s operating profit margin has shown fluctuations over the past five years. The company reported a negative operating profit margin of -7.78% in 2023, indicating that its operating expenses exceeded its operating revenues, leading to an operating loss.
In 2022 and 2021, the operating profit margin was more positive at 17.20% and 19.22%, respectively, suggesting that the company effectively managed its operating expenses relative to its operating revenues, resulting in healthy profitability levels.
However, in 2020 and 2019, the operating profit margin was lower at 4.48% and 5.17%, indicating that the company's profitability from its core business operations was less robust during those years.
Overall, the analysis of Mercer International Inc.'s operating profit margin highlights the company's varying levels of operational efficiency and effectiveness in managing costs and generating profits over the past five years.