Steel Dynamics Inc (STLD)

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	3,151,186	3,391,698	3,877,988	4,432,308	5,091,818	5,761,900	5,864,100	5,201,775	4,301,104	3,130,724	1,964,540	1,167,655	847,142	770,353	842,542	968,724	986,880	1,170,472	1,473,999	1,690,854
Revenue (ttm)	US$ in thousands	18,718,840	19,388,190	20,452,840	21,584,090	22,260,780	22,745,150	22,181,730	20,434,160	18,408,860	15,699,440	12,941,980	10,570,970	9,601,470	9,350,430	9,546,440	10,222,660	10,465,000	11,018,690	11,715,400	12,035,400
Operating profit margin		16.83%	17.49%	18.96%	20.54%	22.87%	25.33%	26.44%	25.46%	23.36%	19.94%	15.18%	11.05%	8.82%	8.24%	8.83%	9.48%	9.43%	10.62%	12.58%	14.05%

December 31, 2023 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $3,151,186K ÷ $18,718,840K
= 16.83%

Steel Dynamics Inc.'s operating profit margin has shown a decreasing trend over the past eight quarters. The margin has declined from 25.46% in Q1 2022 to 16.77% in Q4 2023. This points to a potential erosion in the company's ability to generate profits from its core operations. The decreasing trend may indicate several factors such as increasing operating expenses, declining sales prices, or inefficient cost management. The company should closely monitor and analyze the underlying reasons for this decline to implement corrective measures and improve its operational efficiency in the future.