NetScout Systems Inc (NTCT)

Operating profit margin

		Mar 31, 2025	Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021
Operating income	US$ in thousands	-367,602	-149,826	77,664	48,634	37,130
Revenue	US$ in thousands	822,679	829,455	914,530	855,575	831,282
Operating profit margin		-44.68%	-18.06%	8.49%	5.68%	4.47%

March 31, 2025 calculation

Operating profit margin = Operating income ÷ Revenue
= $-367,602K ÷ $822,679K
= -44.68%

NetScout Systems Inc's operating profit margin has shown varying trends over the past five years. The margin increased from 4.47% as of March 31, 2021, to 5.68% as of March 31, 2022, reflecting a positive growth trajectory. This growth continued into the following year, reaching 8.49% as of March 31, 2023, indicating improved profitability.

However, there was a significant downturn in the operating profit margin in the subsequent years. As of March 31, 2024, the margin plummeted to -18.06%, signifying a substantial decline. This negative trend worsened further as of March 31, 2025, with the operating profit margin decreasing to -44.68%.

The negative operating profit margins in the latter years raise concerns about NetScout Systems Inc's ability to generate profits from its core operations. It is crucial for the company to closely monitor its cost structure, revenue streams, and operational efficiency to improve its profitability and sustain long-term growth.