Packaging Corp of America (PKG)

Operating profit margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Operating income US$ in thousands 1,101,300 1,075,100 978,400 843,600 371,500
Revenue US$ in thousands 8,383,300 7,802,400 8,478,000 7,730,300 6,658,200
Operating profit margin 13.14% 13.78% 11.54% 10.91% 5.58%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $1,101,300K ÷ $8,383,300K
= 13.14%

Packaging Corp of America has shown a positive trend in its operating profit margin over the years, indicating improved operational efficiency and profitability. The operating profit margin increased from 5.58% in December 2020 to 13.14% in December 2024. This upward trajectory suggests that the company has been effectively managing its operating expenses relative to its revenues, leading to higher profitability. The consistent improvement in the operating profit margin reflects the company's ability to generate more profit from its core business activities, which is a positive signal for investors and stakeholders. Overall, Packaging Corp of America's increasing operating profit margin demonstrates its strong operational performance and financial health over the analyzed period.


Peer comparison

Dec 31, 2024

Company name
Symbol
Operating profit margin
Packaging Corp of America
PKG
13.14%
Graphic Packaging Holding Company
GPK
12.71%
Smurfit WestRock plc
SW
4.77%
Sonoco Products Company
SON
6.16%