Parsons Corp (PSN)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 288,358 | 185,666 | 132,446 | 177,815 | 92,063 |
| Revenue | US$ in thousands | 5,418,280 | 4,176,290 | 3,641,260 | 3,902,880 | 3,930,490 |
| Operating profit margin | 5.32% | 4.45% | 3.64% | 4.56% | 2.34% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $288,358K ÷ $5,418,280K
= 5.32%
The operating profit margin of Parsons Corp has shown fluctuations over the past five years. In 2019, the operating profit margin was relatively low at 2.34%, indicating the company's operational efficiency was modest. Subsequently, the margin improved in 2020 to 4.56%, suggesting better control over operating costs and potentially more effective revenue generation.
However, in 2021, the operating profit margin decreased to 3.64%, signaling a potential decrease in profitability compared to the previous year. The following year, 2022, saw a further decline in the margin to 4.45%. This could indicate challenges in maintaining or improving profitability amid changing market conditions or cost pressures.
By the end of 2023, the operating profit margin had increased to 5.32%, showing a positive trend towards improved profitability. Overall, Parsons Corp's operating profit margin has displayed varying levels over the years, highlighting the company's ability to adapt to market conditions and manage its operational costs effectively.
Peer comparison
Dec 31, 2023