SolarWinds Corp (SWI)
Operating profit margin
| Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 178,280 | 161,439 | 150,373 | 135,040 | -165,964 | -795,187 | -819,579 | -857,977 | -599,320 | -10,288 | -32,871 | -20,583 | 4,234 | 46,921 | 85,746 | 69,137 | 82,561 | 77,750 | 79,862 | 130,518 |
| Revenue (ttm) | US$ in thousands | 779,300 | 771,084 | 763,326 | 752,646 | 742,451 | 733,451 | 724,655 | 716,477 | 718,352 | 719,106 | 718,632 | 717,464 | 721,011 | 716,888 | 716,770 | 778,716 | 834,388 | 890,471 | 932,525 | 906,211 |
| Operating profit margin | 22.88% | 20.94% | 19.70% | 17.94% | -22.35% | -108.42% | -113.10% | -119.75% | -83.43% | -1.43% | -4.57% | -2.87% | 0.59% | 6.55% | 11.96% | 8.88% | 9.89% | 8.73% | 8.56% | 14.40% |
June 30, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $178,280K ÷ $779,300K
= 22.88%
The operating profit margin of SolarWinds Corp has shown fluctuations over the past several quarters. From December 2019 to September 2020, the company experienced a relatively stable operating profit margin, ranging from 8.56% to 11.96%. However, in the subsequent quarters leading up to June 2021, the operating profit margin increased notably, reaching a high of 14.40%.
The trend reversed in the second half of 2021, with a steady decline in the operating profit margin, reaching a negative range in the third and fourth quarters of 2022. Notably, in March 2023 and June 2023, the operating profit margin experienced significant negative percentages, indicative of operational challenges or financial downturn.
There was a sharp recovery in the operating profit margin from the third quarter of 2023, where it turned positive again. The company demonstrated a consistent improvement in its operating profit margin in the subsequent quarters, with the latest reported operating profit margin for June 2024 at 22.88%, showing a healthy profitability level compared to the previous quarters.
Overall, the analysis of SolarWinds Corp's operating profit margin indicates a fluctuating trend with periods of stability, growth, challenges, and recovery. Continued monitoring of the company's operational performance will be crucial to assess its financial health and sustainability.
Peer comparison
Jun 30, 2024