Shenandoah Telecommunications Co (SHEN)

Operating profit margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Operating income US$ in thousands -28,591 9,624 5,026 12,996 -1,147
Revenue US$ in thousands 328,058 287,379 267,371 245,239 220,775
Operating profit margin -8.72% 3.35% 1.88% 5.30% -0.52%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $-28,591K ÷ $328,058K
= -8.72%

Shenandoah Telecommunications Co's operating profit margin has shown variability over the past five years. The company experienced a small negative operating profit margin of -0.52% as of December 31, 2020, indicating a slight loss. However, there was improvement in the following year as the operating profit margin increased to 5.30% by December 31, 2021.

In 2022, despite a decrease, the operating profit margin remained positive at 1.88%, indicating that the company was still able to generate profits from its operations. By December 31, 2023, the operating profit margin improved further to 3.35%, reflecting a better performance in managing operating costs and generating profits.

However, the operating profit margin took a significant downturn by December 31, 2024, plunging to -8.72%. This suggests that the company may have faced challenges in controlling expenses relative to its operating income during that period.

Overall, Shenandoah Telecommunications Co's operating profit margin has fluctuated over the years, indicating varying levels of efficiency in generating profits from its core business activities. Monitoring this metric closely is crucial to understanding the company's operational performance and profitability.