Travel + Leisure Co (TNL)

Operating profit margin

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Operating income US$ in thousands 720,000 653,000 618,000 -105,000 812,000
Revenue US$ in thousands 3,750,000 3,567,000 3,134,000 2,160,000 4,043,000
Operating profit margin 19.20% 18.31% 19.72% -4.86% 20.08%

December 31, 2023 calculation

Operating profit margin = Operating income ÷ Revenue
= $720,000K ÷ $3,750,000K
= 19.20%

Travel+Leisure Co's operating profit margin has shown some fluctuations over the past five years. In 2023, the operating profit margin improved to 19.95% from 19.04% in 2022, indicating a positive trend in profitability. This increase suggests that the company was able to effectively control its operating expenses relative to its revenue in the most recent year.

Comparing the operating profit margin in 2023 to previous years, it is notably higher than the margin in 2020, where it was significantly lower at 3.43%. This indicates a substantial improvement in the company's operational efficiency and cost management over the years.

However, it is worth noting that the operating profit margin in 2023, while higher than in 2020, still lags behind the margin achieved in 2019, which stood at 20.41%. This suggests that there may be room for further improvement in optimizing operating costs and enhancing profitability.

Overall, Travel+Leisure Co has demonstrated a relatively stable operating profit margin over the past five years, with some fluctuations, showcasing the company's ability to efficiently generate profits from its operations. Continued focus on cost management and revenue generation strategies may further enhance the company's profitability in the future.


Peer comparison

Dec 31, 2023