Sonoco Products Company (SON)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 326,578 | 715,790 | 675,396 | -64,686 | 487,758 |
| Revenue | US$ in thousands | 5,305,360 | 6,781,290 | 7,250,550 | 5,590,440 | 5,237,440 |
| Operating profit margin | 6.16% | 10.56% | 9.32% | -1.16% | 9.31% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $326,578K ÷ $5,305,360K
= 6.16%
The operating profit margin of Sonoco Products Company has shown fluctuations over the last five years. It stood at 9.31% as of December 31, 2020, declined to -1.16% by December 31, 2021, and then rebounded to 9.32% by December 31, 2022. Subsequently, there was a significant increase to 10.56% by December 31, 2023, but dropped to 6.16% by December 31, 2024.
The positive trend between 2020 and 2022 was encouraging, indicating an improvement in operational efficiency and profitability. However, the negative margin in 2021 suggests challenges or losses incurred during that period. The notable increase in 2023 reflects enhanced profitability, but the slight decline in 2024 may signal a need for further operational enhancements.
Overall, stakeholders may need to closely monitor the company's operating expenses, revenue generation, and cost management strategies to sustain and improve its operating profit margins in the future.
Peer comparison
Dec 31, 2024