Nu Skin Enterprises Inc (NUS)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 48,268 | 110,847 | 233,992 | 257,564 | 267,426 |
| Revenue | US$ in thousands | 1,941,710 | 2,203,880 | 2,670,250 | 2,570,960 | 2,403,130 |
| Operating profit margin | 2.49% | 5.03% | 8.76% | 10.02% | 11.13% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $48,268K ÷ $1,941,710K
= 2.49%
The operating profit margin of Nu Skin Enterprises, Inc. has shown a declining trend over the past five years. From 11.05% in 2019, the margin decreased to 9.98% in 2020, further dropping to 10.60% in 2021, 7.16% in 2022, and reaching its lowest point at 3.46% in 2023. This downward trajectory indicates a potential decrease in the company's efficiency in generating profits from its core operations over time, which could be attributed to various factors such as increased expenses relative to revenue, pricing pressures, or operational inefficiencies. It may be necessary for Nu Skin Enterprises to closely monitor and address the underlying causes of this trend to ensure sustained profitability and competitiveness in the market.
Peer comparison
Dec 31, 2023