Texas Pacific Land Trust (TPL)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Operating income | US$ in thousands | 486,053 | 562,307 | 362,393 | 217,261 |
| Revenue | US$ in thousands | 631,595 | 667,422 | 450,958 | 302,554 |
| Operating profit margin | 76.96% | 84.25% | 80.36% | 71.81% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $486,053K ÷ $631,595K
= 76.96%
The operating profit margin of Texas Pacific Land Trust has demonstrated a fluctuating trend over the past four years. In 2023, the operating profit margin decreased to 76.96% from 84.25% in 2022, marking a decline. However, when compared to the margins in 2021 (80.36%) and 2020 (71.81%), the margin for 2023 still remains relatively high. This indicates that the company is generating a significant portion of revenue from its core operations after accounting for its operating expenses, although there has been a slight decrease in efficiency from the previous year. Further analysis of the underlying factors contributing to this change would be necessary to provide a more in-depth understanding of the company's operational performance.