RXO Inc. (RXO)
Operating profit margin
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | -47,000 | -9,000 | 17,000 | 22,000 | 39,000 | 28,000 | 49,000 | 93,000 | 139,000 | 191,000 | 202,000 | 191,000 | 193,000 |
| Revenue (ttm) | US$ in thousands | 2,884,667 | 3,861,000 | 3,797,000 | 3,830,000 | 3,927,000 | 4,069,000 | 4,231,000 | 4,494,000 | 4,796,000 | 5,003,000 | 5,063,000 | 4,936,000 | 4,689,000 |
| Operating profit margin | -1.63% | -0.23% | 0.45% | 0.57% | 0.99% | 0.69% | 1.16% | 2.07% | 2.90% | 3.82% | 3.99% | 3.87% | 4.12% |
December 31, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-47,000K ÷ $2,884,667K
= -1.63%
The operating profit margin of RXO Inc. has been showing a declining trend over the past few years. From December 31, 2021, where it stood at 4.12%, the margin gradually decreased to 1.16% by June 30, 2023, then experienced a significant drop to -1.63% by December 31, 2024. This indicates that the company's ability to generate profits from its core operations has deteriorated over time, possibly due to increasing costs or declining revenues. A negative operating profit margin suggests that the company is operating at a loss from its primary business activities, which could raise concerns about its financial sustainability and operational efficiency. Further investigation into the factors contributing to this downward trend in the operating profit margin would be necessary to understand and address the underlying issues affecting RXO Inc.'s profitability.
Peer comparison
Dec 31, 2024