Parker-Hannifin Corporation (PH)

Operating profit margin

		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	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019
Operating income (ttm)	US$ in thousands	4,068,822	4,020,132	3,894,334	3,594,123	3,404,182	3,165,435	3,032,547	3,068,395	2,975,035	2,904,427	2,795,573	2,648,233	2,459,941	2,187,483	2,057,933	1,954,626	1,966,704	2,096,909	2,159,449	2,213,347
Revenue (ttm)	US$ in thousands	19,954,000	19,312,100	19,271,150	19,107,110	18,836,130	18,077,990	17,191,440	16,426,780	15,687,760	15,400,500	15,059,880	14,645,580	14,118,560	13,381,960	13,273,130	13,339,290	13,425,410	13,946,280	14,011,920	14,021,370
Operating profit margin		20.39%	20.82%	20.21%	18.81%	18.07%	17.51%	17.64%	18.68%	18.96%	18.86%	18.56%	18.08%	17.42%	16.35%	15.50%	14.65%	14.65%	15.04%	15.41%	15.79%

June 30, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $4,068,822K ÷ $19,954,000K
= 20.39%

The operating profit margin of Parker-Hannifin Corporation has been relatively stable over the past two years, with fluctuations within the range of 14.65% to 20.82%. The margin peaked at 20.82% in March 2024, showing strong operational efficiency, and remained above 18% for the majority of the reporting periods. This indicates that the company has been effectively managing its operating expenses in relation to its revenue generation.

Overall, the operating profit margin trend suggests that Parker-Hannifin Corporation has maintained a healthy level of profitability by efficiently controlling its costs and maximizing its operating income. Consistency in profitability metrics like operating profit margin is essential for sustaining long-term financial health and performance.