Boston Beer Company Inc (SAM)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 75,973 | 100,001 | 90,791 | 7,997 | 244,207 |
| Revenue | US$ in thousands | 2,012,930 | 2,008,620 | 2,090,330 | 2,057,620 | 1,736,430 |
| Operating profit margin | 3.77% | 4.98% | 4.34% | 0.39% | 14.06% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $75,973K ÷ $2,012,930K
= 3.77%
The operating profit margin of Boston Beer Company Inc has shown fluctuations over the past five years, ranging from 0.39% to 14.06%. In 2020, the operating profit margin was at a relatively healthy 14.06%, indicating that the company was able to generate a significant profit from its core operations. However, there was a significant decline in 2021, where the operating profit margin dropped to just 0.39%, which is a cause for concern as it indicates a sharp decrease in profitability.
Subsequently, in 2022, the operating profit margin improved to 4.34%, but it remained below the levels seen in 2020. This indicates that the company may have faced challenges in maintaining profitability during this period. In 2023, there was a slight increase in the operating profit margin to 4.98%, showing some positive momentum in the company's ability to generate profits from its operations.
However, in 2024, the operating profit margin decreased again to 3.77%, raising questions about the company's efficiency in managing costs and generating profits from its core business activities. Overall, the fluctuating trend in the operating profit margin suggests that Boston Beer Company Inc may need to focus on improving operational efficiency and cost management to enhance profitability in the future.
Peer comparison
Dec 31, 2024