NVR Inc (NVR)

Operating profit margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Operating income US$ in thousands 10,516,000 9,441,460 10,451,200 8,880,980 7,467,690
Revenue US$ in thousands 10,524,500 9,518,200 10,526,400 8,951,020 7,536,920
Operating profit margin 99.92% 99.19% 99.29% 99.22% 99.08%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $10,516,000K ÷ $10,524,500K
= 99.92%

NVR Inc's operating profit margin has shown a consistently high level of performance over the years, indicating strong operational efficiency and profitability. The operating profit margin increased from 99.08% in December 2020 to 99.92% by December 2024, reflecting a steady upward trend. This suggests that the company has been effective in managing its operational costs relative to its revenue, resulting in a high proportion of sales translating into operating profits. The firm's ability to maintain such a remarkably high operating profit margin demonstrates a robust operational strategy and effective cost control measures, positioning NVR Inc as a financially sound and efficient entity in its industry.