Microsoft Corporation (MSFT)

Operating profit margin

Jun 30, 2024 Jun 30, 2023 Jun 30, 2022 Jun 30, 2021 Jun 30, 2020
Operating income US$ in thousands 109,433,000 88,523,000 83,383,000 69,916,000 52,959,000
Revenue US$ in thousands 245,122,000 211,915,000 198,270,000 168,088,000 143,015,000
Operating profit margin 44.64% 41.77% 42.06% 41.59% 37.03%

June 30, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $109,433,000K ÷ $245,122,000K
= 44.64%

The operating profit margin of Microsoft Corporation has shown a consistent and positive trend over the past five years. Starting at 37.03% on June 30, 2020, the margin has steadily improved to reach 44.64% by June 30, 2024. This indicates that Microsoft has been able to efficiently manage its operating expenses relative to its revenue, resulting in a higher percentage of each dollar of sales translating into operating profit. The increasing trend in operating profit margin reflects the company's ability to control costs and improve operational efficiency over the years. This steady improvement in profitability metrics is a positive signal for Microsoft's overall financial performance and operational effectiveness.


See also:

Microsoft Corporation Operating Profit Margin