Sitime Corporation (SITM)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | -107,199 | -85,463 | -56,754 | -12,068 | 16,141 | 42,053 | 52,595 | 42,388 | 32,842 | 14,736 | 102 | -7,243 | -8,613 | -9,657 |
| Revenue (ttm) | US$ in thousands | 143,994 | 162,430 | 200,005 | 251,695 | 283,605 | 298,507 | 288,441 | 253,519 | 218,808 | 183,341 | 152,979 | 129,956 | 116,156 | 103,971 |
| Operating profit margin | -74.45% | -52.62% | -28.38% | -4.79% | 5.69% | 14.09% | 18.23% | 16.72% | 15.01% | 8.04% | 0.07% | -5.57% | -7.42% | -9.29% |
December 31, 2023 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-107,199K ÷ $143,994K
= -74.45%
The operating profit margin of SiTime Corp has exhibited a declining trend over the past eight quarters, indicating a decrease in the company's ability to generate profits from its core business operations. Starting from a positive operating profit margin of 16.72% in Q1 2022, the margin steadily decreased, turning negative in Q4 2022. The negative trend continued into Q4 2023, reaching a low of -69.08%.
This fall in operating profit margin could be attributed to various factors such as an increase in operating expenses, a decrease in sales revenue, or inefficiencies in cost management. It is essential for the company to closely monitor its cost structure, revenue streams, and overall operational efficiency to reverse this negative trend and improve profitability in the future.
Peer comparison
Dec 31, 2023