Tetra Tech Inc (TTEK)
Operating profit margin
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 500,737 | 358,113 | 340,446 | 278,701 | 241,091 |
| Revenue | US$ in thousands | 5,199,270 | 4,470,860 | 3,490,830 | 3,200,980 | 2,991,130 |
| Operating profit margin | 9.63% | 8.01% | 9.75% | 8.71% | 8.06% |
September 30, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $500,737K ÷ $5,199,270K
= 9.63%
Tetra Tech Inc's operating profit margin, which represents the proportion of revenue that translates into operating profit, has shown variability over the past five years.
In 2024, the operating profit margin improved to 9.63% from 8.01% in 2023, indicating enhanced efficiency in generating profits from operations. This increase may be attributed to effective cost management or revenue growth outpacing operating expenses.
Comparing 2024 to the previous years, the operating profit margin was higher than in 2021 (8.71%) and 2020 (8.06%), suggesting a positive trend in profitability. However, it was slightly lower than in 2022 when it peaked at 9.75%.
Overall, Tetra Tech Inc's operating profit margin has been relatively stable over the past five years, with fluctuations reflecting changes in the company's operational performance and financial health. This metric is crucial for assessing the company's ability to control costs and generate profits from its core business activities.
Peer comparison
Sep 30, 2024