Phillips 66 (PSX)

Operating profit margin

		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	Jun 30, 2019	Mar 31, 2019
Operating income (ttm)	US$ in thousands	7,933,000	6,749,000	9,414,000	12,984,000	11,311,000	10,211,000	4,405,000	-309,000	-2,390,000	15,929,000	14,626,000	13,725,000	8,966,000	21,682,000	23,643,000	25,266,000	30,308,000	30,281,000	32,098,000	32,163,000
Revenue (ttm)	US$ in thousands	147,811,000	151,287,000	158,181,000	173,624,000	175,470,000	167,636,000	152,331,000	129,770,000	114,646,000	98,020,000	83,151,000	66,441,000	65,456,000	78,172,000	89,782,000	107,160,000	109,529,000	109,502,000	112,260,000	113,560,000
Operating profit margin		5.37%	4.46%	5.95%	7.48%	6.45%	6.09%	2.89%	-0.24%	-2.08%	16.25%	17.59%	20.66%	13.70%	27.74%	26.33%	23.58%	27.67%	27.65%	28.59%	28.32%

December 31, 2023 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $7,933,000K ÷ $147,811,000K
= 5.37%

The operating profit margin of Phillips 66 has shown a fluctuating trend over the past eight quarters. In Q1 2022, the operating profit margin was at its lowest at 1.26%, reflecting a relatively weak performance. Subsequently, there was a noticeable improvement in the following quarters, with the margin steadily increasing to reach its peak in Q1 2023 at 6.75%. However, in Q2 and Q3 2023, the operating profit margin decreased to 6.39% and 5.83%, respectively.

Overall, while the company managed to increase its operating profit margin over the quarters, there were instances of decline as well. It is essential for Phillips 66 to continue monitoring and optimizing its operational efficiency to sustain and ideally improve its operating profit margin in the future.