OGE Energy Corporation (OGE)

Operating profit margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Operating income US$ in thousands 745,300 650,200 649,500 544,200 522,200
Revenue US$ in thousands 2,985,300 2,674,300 3,375,700 3,653,700 2,122,300
Operating profit margin 24.97% 24.31% 19.24% 14.89% 24.61%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $745,300K ÷ $2,985,300K
= 24.97%

The operating profit margin of OGE Energy Corporation has shown fluctuation over the past five years. It stood at 24.61% as of December 31, 2020, declined to 14.89% by December 31, 2021, rebounded to 19.24% by December 31, 2022, further increased to 24.31% by December 31, 2023, and reached 24.97% by December 31, 2024.

The significant drop in the operating profit margin in 2021 could indicate potential operational challenges or increased costs during that period. However, the subsequent recovery and steady improvement in the following years are positive signs of cost management effectiveness and operational efficiency.

Overall, the upward trend in the operating profit margin from 2022 onwards suggests that OGE Energy Corporation has been able to enhance its profitability by controlling costs and improving operational performance, which is a positive indicator of the company's financial health and management capabilities.