Monolithic Power Systems Inc (MPWR)

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	Mar 31, 2019	Dec 31, 2018
Operating income (ttm)	US$ in thousands	481,736	509,059	525,364	554,927	526,785	468,465	393,725	312,465	262,417	223,807	206,655	173,982	158,882	149,614	119,667	113,429	115,520	118,319	113,169	113,489
Revenue (ttm)	US$ in thousands	1,821,072	1,827,072	1,847,623	1,867,499	1,794,148	1,670,640	1,498,744	1,331,057	1,207,798	1,104,337	1,040,237	933,129	844,452	778,147	687,538	642,692	630,411	623,648	594,596	582,383
Operating profit margin		26.45%	27.86%	28.43%	29.71%	29.36%	28.04%	26.27%	23.47%	21.73%	20.27%	19.87%	18.65%	18.81%	19.23%	17.41%	17.65%	18.32%	18.97%	19.03%	19.49%

December 31, 2023 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $481,736K ÷ $1,821,072K
= 26.45%

The operating profit margin of Monolithic Power System Inc has been relatively stable over the past eight quarters, ranging from 23.93% in Q1 2022 to 30.06% in Q1 2023. The company's operating profit margin peaked in Q1 2023 at 30.06% and showed a slight decline in the most recent quarter, Q4 2023, to 26.45%. Overall, the company has maintained a healthy operating profit margin above 25% throughout the analyzed period, indicating efficient cost management and profitability in its operations. It is crucial for investors and stakeholders to continue monitoring this metric to assess the company's ability to generate profits from its core business activities.