Phibro Animal Health Corporation (PAHC)

Operating profit margin

		Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020
Operating income (ttm)	US$ in thousands	110,465	89,385	76,060	66,228	47,829	58,957	57,320	57,463	71,847	62,576	63,217	69,667	70,595	75,300	76,238	73,834	74,910	73,810	74,997	74,716
Revenue (ttm)	US$ in thousands	1,296,215	1,190,682	1,106,080	1,046,762	1,017,630	999,515	981,965	976,668	977,889	978,140	972,086	960,152	942,296	907,296	879,406	852,843	833,372	798,972	797,982	805,845
Operating profit margin		8.52%	7.51%	6.88%	6.33%	4.70%	5.90%	5.84%	5.88%	7.35%	6.40%	6.50%	7.26%	7.49%	8.30%	8.67%	8.66%	8.99%	9.24%	9.40%	9.27%

June 30, 2025 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $110,465K ÷ $1,296,215K
= 8.52%

The operating profit margin of Phibro Animal Health Corporation has demonstrated variability over the period from September 2020 through June 2025. Initially, the margin hovered around 9.27% in September 2020, reaching a peak of approximately 9.40% at the end of 2020. During 2021, the margin experienced a gradual decline, decreasing to approximately 8.66% by September 2021 and stabilizing marginally around 8.67% at year's end.

In 2022, the margin continued its downward trend, falling to about 7.49% in June and further declining to 6.50% by the end of December. The decline persisted into early 2023, with margins recorded at approximately 6.40% in March and further decreasing to 5.88% in September, approaching the lower end of the range observed over the past years. By December 2023, the margin slightly improved to 5.84%, and continued a modest upward trajectory through March and June 2024, reaching approximately 5.90% and 4.70%, respectively.

From mid-2024 onward, there has been a noticeable recovery in operating profit margin, with percentages increasing to 6.33% in September 2024, then slightly higher at 6.88% in December 2024. The upward trend persisted into the first half of 2025, with margins reported at approximately 7.51% in March and reaching 8.52% by June 2025.

Overall, the data indicate a downward trend in operating profit margins from late 2020 through late 2023, followed by a period of recovery beginning in late 2024 and into mid-2025. This pattern suggests periods of margin compression possibly driven by increased costs, competitive pressures, or shifts in product mix, with recent improvements potentially reflecting strategic adjustments or favorable market conditions.