Resideo Technologies Inc (REZI)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 547,000 | 498,000 | 544,000 | 577,000 | 611,000 | 654,000 | 666,000 | 601,000 | 559,000 | 570,000 | 534,000 | 407,000 | 311,000 | 231,000 | 159,000 | 207,000 | 258,000 | 291,000 | 360,000 |
| Revenue (ttm) | US$ in thousands | 6,194,000 | 6,209,000 | 6,274,000 | 6,362,000 | 6,308,000 | 6,221,000 | 6,083,000 | 5,875,000 | 5,786,000 | 5,837,000 | 5,720,000 | 5,284,000 | 5,057,000 | 4,860,000 | 4,722,000 | 4,917,000 | 4,937,000 | 4,899,000 | 4,889,000 |
| Operating profit margin | 8.83% | 8.02% | 8.67% | 9.07% | 9.69% | 10.51% | 10.95% | 10.23% | 9.66% | 9.77% | 9.34% | 7.70% | 6.15% | 4.75% | 3.37% | 4.21% | 5.23% | 5.94% | 7.36% |
December 31, 2023 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $547,000K ÷ $6,194,000K
= 8.83%
The operating profit margin of Resideo Technologies Inc has shown a gradual decline over the past eight quarters, starting from 10.84% in Q2 2022 to 9.44% in Q4 2023. This trend indicates that the company's operating efficiency has been decreasing slightly as a percentage of sales over this period. The variations in the operating profit margin are relatively small, ranging between 9.18% and 10.84%.
Despite the decline, Resideo's operating profit margin has generally been within a narrow range, hovering around the 10% mark, which suggests that the company has been able to maintain a healthy level of profitability from its operations. It is important for the company to monitor this metric closely to ensure that any further decreases are addressed promptly to sustain profitability and overall financial health.