Transdigm Group Incorporated (TDG)
Operating profit margin
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 3,531,000 | 2,923,000 | 2,215,000 | 1,691,000 | 1,751,000 |
| Revenue | US$ in thousands | 7,940,000 | 6,585,000 | 5,429,000 | 4,798,000 | 5,103,000 |
| Operating profit margin | 44.47% | 44.39% | 40.80% | 35.24% | 34.31% |
September 30, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $3,531,000K ÷ $7,940,000K
= 44.47%
Transdigm Group Incorporated has shown a consistent upward trend in its operating profit margin over the past five years, indicating improving efficiency and profitability in its operations. The company's operating profit margin increased from 34.31% in 2020 to 44.47% in 2024, reflecting a significant improvement.
This positive trend suggests that Transdigm Group has been effectively managing its costs and expenses relative to its total revenue, leading to higher margins. The company's ability to maintain and increase its operating profit margin over time demonstrates its competitive positioning within its industry and its ability to generate strong returns from its operations.
Overall, the consistent growth in Transdigm Group's operating profit margin signifies a healthy and efficient business model, which is important for sustaining long-term profitability and value creation for its shareholders.