Penguin Solutions, Inc. (PENG)

Operating profit margin

		May 31, 2025	Feb 28, 2025	Nov 30, 2024	Aug 31, 2024	May 31, 2024	Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	May 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020
Operating income (ttm)	US$ in thousands	60,437	56,146	34,346	18,295	16,627	2,730	3,965	17,507	37,985	75,680	94,562	114,509	118,648	86,233	82,368	55,198	40,687	47,857	43,073	41,330
Revenue (ttm)	US$ in thousands	1,342,020	1,318,349	1,237,651	1,170,796	1,022,916	1,066,754	1,170,310	1,287,860	1,562,289	1,680,411	1,741,205	1,819,352	1,849,364	1,824,552	1,679,390	1,501,143	1,330,464	1,174,023	1,142,056	1,122,377
Operating profit margin		4.50%	4.26%	2.78%	1.56%	1.63%	0.26%	0.34%	1.36%	2.43%	4.50%	5.43%	6.29%	6.42%	4.73%	4.90%	3.68%	3.06%	4.08%	3.77%	3.68%

May 31, 2025 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $60,437K ÷ $1,342,020K
= 4.50%

The operating profit margin of Penguin Solutions, Inc. has exhibited notable fluctuations over the period from August 2020 through May 2025. Initially, the margin stood at approximately 3.68% in August 2020, with a slight increase to 3.77% by November 2020, and further to 4.08% in February 2021. During this period, the margin demonstrated a modest upward trend, reflecting improvements in operational efficiency or higher revenue relative to operating expenses.

In mid-2021, the margin declined to 3.06% in May, then reverted to 3.68% by August, indicating some stability. A significant upward movement was observed subsequently, reaching approximately 4.90% in November 2021 and peaking at 6.42% in May 2022. This period may suggest successful operational initiatives, increased sales, or cost control measures boosting profitability.

Following this peak, the margin declined somewhat to 6.29% in August 2022, then decreased further to 5.43% in November 2022, reflecting potential normalization or increased operating costs. A steeper decline occurred by February 2023, with the margin dropping to 4.50%. This downtrend continued into 2023, with margins falling to 2.43% in May, 1.36% in August, and reaching an even lower 0.34% in November 2023.

Subsequently, a slight recovery was noted, with margins increasing to 0.26% in February 2024, further to 1.63% in May 2024, and stabilizing around 1.56% in August 2024. The trend continued upward in late 2024, reaching 2.78% in November 2024 and further up to 4.26% in February 2025, ultimately arriving at approximately 4.50% in May 2025.

Overall, Penguin Solutions, Inc.'s operating profit margin has experienced considerable volatility during this timeframe, with periods of growth interspersed with marked declines. The recent trend indicates a gradual recovery from earlier lows, suggesting fluctuating operational efficiencies or market conditions impacting profitability margins.