Procter & Gamble Company (PG)
Operating profit margin
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 20,451,000 | 18,545,000 | 18,134,000 | 17,813,000 | 17,986,000 |
| Revenue | US$ in thousands | 84,284,000 | 84,039,000 | 82,006,000 | 80,187,000 | 76,118,000 |
| Operating profit margin | 24.26% | 22.07% | 22.11% | 22.21% | 23.63% |
June 30, 2025 calculation
Operating profit margin = Operating income ÷ Revenue
= $20,451,000K ÷ $84,284,000K
= 24.26%
The operating profit margin of Procter & Gamble Company, as reflected in the provided data, demonstrates a pattern of relative stability with slight fluctuations over the recent fiscal years. As of June 30, 2021, the operating profit margin was recorded at 23.63%, representing the company's efficiency in managing operating expenses relative to its net sales.
Between June 30, 2022, and June 30, 2024, the operating profit margin experienced a marginal decline, decreasing from 22.21% in 2022 to 22.07% in 2024. This downward trend indicates a potential compression in profitability at the operating level, possibly due to increased operating costs, competitive pressures, or other macroeconomic factors affecting margins.
However, the data from June 30, 2025, shows a reversal of this declining trend, with the operating profit margin rising to 24.26%. This increase suggests an improvement in operational efficiency or effectiveness, possibly driven by cost management strategies, product mix optimization, or enhanced revenue generation efforts.
Overall, the company's operating profit margin has exhibited a slight decline over the initial years followed by a recovery in the latest fiscal year, indicating a period of margin pressure succeeded by a positive turnaround. This pattern underscores the importance of ongoing operational strategies to sustain profitability amid a dynamic market environment.