Synopsys Inc (SNPS)

Operating profit margin

		Oct 31, 2023	Oct 31, 2022	Oct 31, 2021	Oct 31, 2020	Oct 31, 2019
Operating income	US$ in thousands	1,269,260	1,162,040	734,790	620,141	520,231
Revenue	US$ in thousands	5,842,620	5,081,540	4,204,190	3,685,280	3,360,690
Operating profit margin		21.72%	22.87%	17.48%	16.83%	15.48%

October 31, 2023 calculation

Operating profit margin = Operating income ÷ Revenue
= $1,269,260K ÷ $5,842,620K
= 21.72%

The operating profit margin of Synopsys, Inc. has shown a consistent upward trend over the past five years, indicating an improvement in the company's operational efficiency and profitability. The margin increased from 16.88% in 2019 to 23.04% in 2023. This demonstrates the company's ability to effectively control its operating expenses and generate higher profits from its core business activities. The steady growth in operating profit margin suggests that Synopsys has been successful in maintaining a healthy balance between revenue generation and cost management, which is a positive sign for investors and stakeholders. Overall, the company's operating profit margin reflects a strong financial performance and an improvement in its operational effectiveness.