PTC Inc (PTC)

Operating profit margin

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Operating income (ttm)	US$ in thousands	588,062	515,223	529,302	472,286	458,474	483,357	453,434	490,085	447,362	416,482	410,087	352,587	380,747	332,622	322,441	270,776	210,863	190,402	136,306	63,423
Revenue (ttm)	US$ in thousands	2,232,988	2,118,576	2,106,443	2,036,814	1,972,671	1,913,566	1,856,952	1,849,196	1,844,311	1,850,753	1,824,465	1,780,355	1,753,119	1,670,686	1,580,139	1,458,146	1,384,554	1,327,312	1,278,925	1,229,995
Operating profit margin		26.34%	24.32%	25.13%	23.19%	23.24%	25.26%	24.42%	26.50%	24.26%	22.50%	22.48%	19.80%	21.72%	19.91%	20.41%	18.57%	15.23%	14.34%	10.66%	5.16%

September 30, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $588,062K ÷ $2,232,988K
= 26.34%

The operating profit margin of PTC Inc has shown a consistent upward trend over the past several quarters, indicating improved profitability and operational efficiency. In the most recent quarter, the operating profit margin stood at 26.34%, the highest in the provided dataset. This demonstrates that PTC Inc has been effectively managing its operating expenses relative to its revenue, resulting in a higher proportion of each dollar of sales translating into operating profit.

The company's operating profit margins have generally been above 20% since the beginning of 2021, showcasing a strong financial performance and effective cost control measures. The significant increase in operating profit margin from 15.23% in December 2020 to the current level of 26.34% signifies a notable improvement in profitability within a relatively short period.

Overall, the consistent uptrend in the operating profit margin reflects PTC Inc's ability to generate higher profits from its core business operations, indicating potential operational efficiencies, pricing power, or cost management strategies. This positive trend bodes well for the company's financial health and sustainability in the long run.