Organon & Co (OGN)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 1,486,000 | 1,327,000 | 1,478,000 | 1,619,000 | 2,849,000 |
| Revenue | US$ in thousands | 6,403,000 | 6,263,000 | 6,174,000 | 6,304,000 | 8,096,000 |
| Operating profit margin | 23.21% | 21.19% | 23.94% | 25.68% | 35.19% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $1,486,000K ÷ $6,403,000K
= 23.21%
Organon & Co's operating profit margin has shown a declining trend over the past five years, starting at 35.19% on December 31, 2020, and reducing to 23.21% by December 31, 2024. This indicates that the company's profitability from core operations has been decreasing over the period under review. The declining trend raises concerns about the company's ability to efficiently manage its operating expenses and generate profits from its primary business activities. Further analysis and investigation into the factors impacting the operating profit margin are recommended to understand the drivers behind this trend and to develop strategies for improvement.
Peer comparison
Dec 31, 2024