SPS Commerce Inc (SPSC)

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	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Operating income (ttm)	US$ in thousands	77,247	73,376	72,467	71,402	71,182	67,541	61,372	58,933	55,085	53,269	53,702	51,284	50,158	47,365	44,344	42,563	38,406	35,851	33,175	29,810
Revenue (ttm)	US$ in thousands	536,910	513,963	492,788	471,550	450,875	431,613	415,014	400,375	385,276	365,828	347,498	328,532	312,630	302,055	293,426	286,382	279,124	271,580	263,520	256,082
Operating profit margin		14.39%	14.28%	14.71%	15.14%	15.79%	15.65%	14.79%	14.72%	14.30%	14.56%	15.45%	15.61%	16.04%	15.68%	15.11%	14.86%	13.76%	13.20%	12.59%	11.64%

December 31, 2023 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $77,247K ÷ $536,910K
= 14.39%

The operating profit margin of SPS Commerce Inc. has shown a consistent trend within a relatively narrow range over the past eight quarters. It ranged from a high of 15.79% in Q4 2022 to a low of 14.28% in Q3 2023. The average operating profit margin over this period is approximately 14.99%, indicating that the company has been able to maintain healthy profitability levels in its operations. The slight fluctuations in the operating profit margin may reflect variations in the company's cost structure, revenue streams, or efficiency in managing operating expenses. Overall, the stable operating profit margin suggests that SPS Commerce Inc. has been effectively managing its operating costs and generating profits from its core business activities.