Progress Software Corporation (PRGS)

Operating profit margin

		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	May 31, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019	May 31, 2019
Operating income (ttm)	US$ in thousands	109,941	110,523	118,429	121,079	138,287	132,131	122,046	136,071	118,118	116,102	114,258	101,405	104,432	107,728	83,188	65,955	55,387	40,084	57,140	60,283
Revenue (ttm)	US$ in thousands	714,898	694,439	674,596	650,821	621,317	602,013	585,014	581,214	554,955	531,313	513,570	475,852	453,747	442,150	436,803	433,820	433,432	413,298	394,364	383,331
Operating profit margin		15.38%	15.92%	17.56%	18.60%	22.26%	21.95%	20.86%	23.41%	21.28%	21.85%	22.25%	21.31%	23.02%	24.36%	19.04%	15.20%	12.78%	9.70%	14.49%	15.73%

February 29, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $109,941K ÷ $714,898K
= 15.38%

Progress Software Corporation's operating profit margin has exhibited some fluctuation over the past several quarters. The operating profit margin, which indicates the company's efficiency in generating profits from its core operations, ranged from a low of 9.70% in May 2019 to a high of 24.36% in November 2020.

In recent quarters, the operating profit margin has generally been above 15%, indicating that the company has been able to effectively control its operating expenses relative to its revenue generation. The margin peaked at 24.36% in November 2020, which suggests a period of strong operational efficiency and profitability.

However, in the most recent quarter as of February 2024, the operating profit margin decreased to 15.38%. While still above the 15% mark, this decline may warrant further investigation into potential factors impacting the company's profitability, such as changes in cost structures, pricing strategies, or revenue streams.

Overall, the analysis of Progress Software Corporation's operating profit margin highlights the company's ability to manage its operational efficiency and generate profits from its core business activities, despite some variability in performance across different quarters.