Patrick Industries Inc (PATK)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 258,040 | 260,200 | 496,170 | 351,712 | 173,373 |
| Revenue | US$ in thousands | 3,715,680 | 3,468,040 | 4,881,870 | 4,078,090 | 2,486,600 |
| Operating profit margin | 6.94% | 7.50% | 10.16% | 8.62% | 6.97% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $258,040K ÷ $3,715,680K
= 6.94%
Based on the data provided, Patrick Industries Inc's operating profit margin has shown variability over the five-year period from December 31, 2020, to December 31, 2024.
- In December 2020, the operating profit margin was 6.97%, indicating that for every dollar of sales, the company generated an operating profit of approximately $0.07.
- The margin improved to 8.62% by December 2021, suggesting enhanced operational efficiency and profitability.
- By December 2022, the operating profit margin further increased to 10.16%, reaching its highest level over the period, possibly reflecting effective cost management or revenue growth strategies.
- However, there was a decline in the operating profit margin to 7.50% by December 2023, which could be a result of increased expenses or other operational challenges during that year.
- The margin decreased further to 6.94% by December 2024, indicating a potential need for the company to focus on enhancing its operational efficiency to sustain or improve profitability in the future.
Overall, Patrick Industries Inc's operating profit margin fluctuated during the period under review, demonstrating the importance of closely monitoring and managing operating costs and revenue generation strategies to maintain sustainable profitability levels over time.
Peer comparison
Dec 31, 2024