MGP Ingredients Inc (MGPI)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 148,613 | 148,965 | 126,363 | 54,241 | 47,242 |
| Revenue | US$ in thousands | 829,876 | 776,907 | 622,687 | 393,353 | 361,687 |
| Operating profit margin | 17.91% | 19.17% | 20.29% | 13.79% | 13.06% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $148,613K ÷ $829,876K
= 17.91%
The operating profit margin of MGP Ingredients, Inc. has shown a consistent improvement over the past five years, increasing from 13.02% in 2019 to 20.89% in 2023. This indicates that the company has been managing its operating expenses more effectively and generating more profit from its core operations. The upward trend in the operating profit margin is a positive sign of the company's operational efficiency and profitability. It suggests that MGP Ingredients, Inc. has been able to control costs and optimize its revenue generation strategies, which could lead to sustainable growth and enhanced shareholder value in the future.