Rambus Inc (RMBS)

Operating profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Operating income	US$ in thousands	183,009	153,639	76,942	24,281	-44,054
Revenue	US$ in thousands	556,624	461,117	454,793	328,304	246,322
Operating profit margin		32.88%	33.32%	16.92%	7.40%	-17.88%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $183,009K ÷ $556,624K
= 32.88%

Based on the data provided, Rambus Inc's operating profit margin has shown significant improvement over the years. The margin was negative at -17.88% as of December 31, 2020, indicating that the company was experiencing operating losses. However, by December 31, 2021, the operating profit margin had turned positive at 7.40%, showing a recovery in profitability.

Subsequently, there was a notable increase in the operating profit margin to 16.92% by December 31, 2022, indicating that the company's operational efficiency and profitability had continued to improve. This positive trend continued into the following years, with the operating profit margin reaching 33.32% as of December 31, 2023, and further improving to 32.88% by December 31, 2024.

Overall, Rambus Inc's operating profit margin has shown a strong upward trajectory, reflecting improved cost management, increased revenue generation, or a combination of both factors. This trend suggests that the company has been effectively controlling its operating expenses and generating higher profits from its core business activities, which bodes well for its financial health and overall performance.