Mohawk Industries Inc (MHK)
Operating profit margin
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | -287,808 | -393,828 | -165,675 | 49,206 | 244,217 | 436,237 | 1,301,800 | 1,338,297 | 1,335,011 | 1,364,647 | 1,267,417 | 802,035 | 636,003 | 508,083 | 485,559 | 813,377 | 827,224 | 885,786 | 932,810 | 992,257 |
| Revenue (ttm) | US$ in thousands | 11,069,310 | 11,102,500 | 11,254,030 | 11,474,710 | 11,672,300 | 11,785,660 | 11,686,880 | 11,483,230 | 11,131,870 | 11,030,910 | 10,787,740 | 9,889,430 | 9,505,800 | 9,288,550 | 9,244,070 | 9,776,680 | 9,939,820 | 9,963,930 | 9,986,970 | 9,980,730 |
| Operating profit margin | -2.60% | -3.55% | -1.47% | 0.43% | 2.09% | 3.70% | 11.14% | 11.65% | 11.99% | 12.37% | 11.75% | 8.11% | 6.69% | 5.47% | 5.25% | 8.32% | 8.32% | 8.89% | 9.34% | 9.94% |
December 31, 2023 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-287,808K ÷ $11,069,310K
= -2.60%
The operating profit margin for Mohawk Industries, Inc. has shown a consistent downward trend over the past eight quarters. The margin decreased from 11.59% in Q1 2022 to 5.30% in Q4 2023. This decline can indicate challenges in controlling operating expenses relative to revenue generation.
The company experienced its highest operating profit margin of 11.59% in Q1 2022, followed by a steady decline in subsequent quarters. The margin dropped below double digits in Q3 2022 and continued to decrease in the following periods.
A declining operating profit margin may suggest potential issues with cost management or pricing strategies. It is essential for the company to assess and address the factors contributing to this trend to maintain profitability and competitiveness in the industry.
Further analysis and comparison with industry benchmarks and peers may provide additional insights into the company's operational efficiency and financial performance.
Peer comparison
Dec 31, 2023