Pure Storage Inc (PSTG)
Operating profit margin
| Feb 4, 2024 | Feb 5, 2023 | Feb 6, 2022 | Jan 31, 2021 | Feb 2, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 53,551 | 83,513 | -98,398 | -261,033 | -191,283 |
| Revenue | US$ in thousands | 2,817,430 | 2,740,340 | 2,138,940 | 1,655,280 | 1,612,150 |
| Operating profit margin | 1.90% | 3.05% | -4.60% | -15.77% | -11.87% |
February 4, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $53,551K ÷ $2,817,430K
= 1.90%
The operating profit margin of Pure Storage Inc has displayed fluctuations over the past five years. The margin was positive in the most recent year, with a figure of 1.90%, showing a decrease from the previous year's 3.05%. Prior to that, there was a significant improvement in the operating profit margin as it moved from a negative figure of -4.60% in 2022 to a positive figure in 2023. However, in the two preceding years (2021 and 2020), the company experienced negative operating profit margins, with particularly steep declines in 2021 and 2020, at -15.77% and -11.87% respectively.
The fluctuating trend in the operating profit margin of Pure Storage Inc indicates variability in the company's ability to control its operating expenses and generate profits from its core business activities over the years. The recent dip in the margin may suggest challenges in maintaining profitability in the face of changing market dynamics or operational inefficiencies. Further analysis of the company's cost structure and revenue streams may be necessary to understand the drivers behind these fluctuations and to identify opportunities for improvement.
Peer comparison
Feb 4, 2024