TripAdvisor Inc (TRIP)

Operating profit margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Operating income US$ in thousands 92,000 126,000 101,000 -131,000 -285,000
Revenue US$ in thousands 1,835,000 1,788,000 1,492,000 902,000 604,000
Operating profit margin 5.01% 7.05% 6.77% -14.52% -47.19%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $92,000K ÷ $1,835,000K
= 5.01%

The operating profit margin of TripAdvisor Inc has shown a significant improvement over the past few years. In December 2020, the operating profit margin was at a negative 47.19%, reflecting operational challenges.

However, by December 2021, the company managed to reduce its operating losses, with the operating profit margin improving to a negative 14.52%. This trend continued positively in the following years, with the operating profit margin turning positive in December 2022, reaching 6.77%.

The company's profitability further improved in December 2023, with the operating profit margin rising to 7.05%. Although there was a slight decline in December 2024, with the operating profit margin decreasing to 5.01%, TripAdvisor Inc has overall shown a commendable effort in enhancing its operational efficiency and profitability over the analyzed period.