Owens Corning Inc (OC)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 1,812,000 | 1,714,000 | 1,438,000 | -138,000 | 787,000 |
| Revenue | US$ in thousands | 9,599,000 | 9,618,000 | 8,364,000 | 6,929,000 | 7,160,000 |
| Operating profit margin | 18.88% | 17.82% | 17.19% | -1.99% | 10.99% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $1,812,000K ÷ $9,599,000K
= 18.88%
Owens Corning has shown consistent improvement in its operating profit margin over the past five years. The operating profit margin has increased steadily from 11.51% in 2019 to 17.87% in 2023. This indicates the company's ability to efficiently control its operating expenses relative to its net sales. The upward trend suggests that Owens Corning has been able to enhance its operational efficiency and profitability over the years. A higher operating profit margin signifies that the company is generating more profit from its core business activities, leading to stronger financial performance. Overall, Owens Corning's increasing operating profit margin reflects positively on its financial health and management effectiveness.