Synopsys Inc (SNPS)

Operating profit margin

		Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020
Operating income (ttm)	US$ in thousands	1,362,705	1,482,424	1,422,289	1,382,592	1,278,904	1,065,756	999,608	1,070,934	1,162,038	1,134,953	1,102,948	933,478	734,790	740,634	749,309	680,973	620,141	553,730	470,726	460,333
Revenue (ttm)	US$ in thousands	6,265,680	6,228,820	6,190,360	6,130,510	5,842,620	5,527,780	5,288,260	5,172,630	5,081,550	4,949,680	4,759,040	4,504,130	4,204,191	4,077,211	3,984,215	3,821,222	3,685,282	3,510,923	3,399,759	3,374,674
Operating profit margin		21.75%	23.80%	22.98%	22.55%	21.89%	19.28%	18.90%	20.70%	22.87%	22.93%	23.18%	20.72%	17.48%	18.17%	18.81%	17.82%	16.83%	15.77%	13.85%	13.64%

October 31, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $1,362,705K ÷ $6,265,680K
= 21.75%

The operating profit margin of Synopsys Inc has shown fluctuations over the periods provided. The margin has demonstrated a general upward trend over the past few quarters, indicating improved operational efficiency and profitability.

Specifically, the operating profit margin has ranged from a low of 13.64% in January 2020 to a high of 23.80% in July 2024. This suggests that the company has been effectively managing its operating expenses and generating stronger profits from its core business activities.

It is worth noting that the operating profit margin peaked in the most recent quarter at 23.80%, which may imply that the company has been successful in optimizing its operations and increasing profitability. However, the margin experienced some fluctuations in the preceding quarters, indicating potential volatility in the company's operational performance.

Overall, an increasing trend in the operating profit margin reflects positively on Synopsys Inc's ability to generate profits from its core business activities. Nonetheless, it is important to continue monitoring the margin in future periods to assess the company's ongoing operational efficiency and profitability.