Mesa Laboratories Inc (MLAB)

Operating profit margin

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Operating income	US$ in thousands	-272,075	3,320	4,702	12,358	7,923
Revenue	US$ in thousands	216,187	219,080	184,335	133,937	117,687
Operating profit margin		-125.85%	1.52%	2.55%	9.23%	6.73%

March 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $-272,075K ÷ $216,187K
= -125.85%

Mesa Laboratories Inc's operating profit margin has fluctuated over the past five years. In fiscal year 2020, the operating profit margin was 6.73%, representing a decent level of profitability. However, there was a noticeable decline in fiscal year 2021 with the margin dropping to 9.23%. The trend continued downward in fiscal years 2022 and 2023 with operating profit margins of 2.55% and 1.52% respectively.

Interestingly, in the most recent period ending March 31, 2024, Mesa Laboratories Inc reported a negative operating profit margin of -125.85%. This substantial decline into negative territory raises concerns regarding the company's ability to generate profits from its core operations.

Overall, the declining trend in operating profit margin over the years indicates potential challenges in managing costs and maintaining profitability levels. Further investigation into the factors contributing to the negative operating profit margin in the latest period is warranted to assess the company's financial health and operational efficiency.