Tempur Sealy International Inc (TPX)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 607,200 | 680,600 | 912,300 | 532,100 | 346,700 |
| Revenue | US$ in thousands | 4,925,400 | 4,921,200 | 4,930,800 | 3,676,900 | 3,106,000 |
| Operating profit margin | 12.33% | 13.83% | 18.50% | 14.47% | 11.16% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $607,200K ÷ $4,925,400K
= 12.33%
Tempur Sealy International Inc's operating profit margin has displayed fluctuating trends over the past five years. The operating profit margin decreased from 17.88% in 2021 to 14.03% in 2020 before increasing to 13.40% in 2022. However, in the most recent year, the operating profit margin further declined to 11.86%.
This indicates that the company's ability to generate profits from its core operations has slightly weakened in the latest period compared to the previous year. Factors contributing to this decline could include changes in cost structures, pricing strategies, or overall efficiency in managing operating expenses.
In conclusion, it is essential for Tempur Sealy International Inc to evaluate its operational performance and take proactive measures to improve its operating profit margin going forward.
Peer comparison
Dec 31, 2023