Toll Brothers Inc (TOL)

Operating profit margin

		Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020
Operating income (ttm)	US$ in thousands	2,040,187	1,987,748	2,005,668	1,807,856	1,724,755	1,856,367	1,702,929	1,558,873	1,508,626	1,259,062	1,174,122	1,076,834	1,020,877	840,784	713,696	621,874	550,260	514,594	535,944	603,851
Revenue (ttm)	US$ in thousands	10,846,740	10,533,430	10,493,130	10,162,620	9,994,940	10,686,920	10,494,080	10,264,640	10,275,550	9,604,800	9,365,480	9,018,060	8,790,360	8,292,210	7,688,220	7,320,140	7,088,190	6,946,910	7,061,110	7,216,310
Operating profit margin		18.81%	18.87%	19.11%	17.79%	17.26%	17.37%	16.23%	15.19%	14.68%	13.11%	12.54%	11.94%	11.61%	10.14%	9.28%	8.50%	7.76%	7.41%	7.59%	8.37%

October 31, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $2,040,187K ÷ $10,846,740K
= 18.81%

The operating profit margin of Toll Brothers Inc has shown a generally upward trend from January 2020 to October 2024. The company's operating profit margin has increased steadily over this period, with fluctuations along the way. From a low of 7.41% in January 2020, the operating profit margin has improved to 18.81% in October 2024. This indicates that the company has been able to effectively control its operating expenses relative to its revenue, resulting in higher profitability. The consistent improvement in operating profit margin reflects positively on Toll Brothers' operational efficiency and management of costs, suggesting a potentially sustainable and profitable business model.