Titan International Inc (TWI)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 33,184 | 148,727 | 205,802 | 85,175 | -16,552 |
| Revenue | US$ in thousands | 1,845,940 | 1,821,800 | 2,169,380 | 1,780,220 | 1,259,310 |
| Operating profit margin | 1.80% | 8.16% | 9.49% | 4.78% | -1.31% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $33,184K ÷ $1,845,940K
= 1.80%
Titan International Inc's operating profit margin has shown fluctuations over the past five years. It began at a negative 1.31% on December 31, 2020, indicating that the company's operating expenses exceeded its operating income. However, there was a significant improvement in the following year, with the operating profit margin increasing to 4.78% on December 31, 2021.
The trend continued to improve in the subsequent years, reaching 9.49% on December 31, 2022, which signifies that the company was able to generate a higher operating profit relative to its revenue. However, there was a slight decrease in the operating profit margin to 8.16% on December 31, 2023, indicating a potential decrease in efficiency or an increase in operational costs.
The operating profit margin decreased further to 1.80% on December 31, 2024, indicating a considerable decline compared to the previous years. This decline could be attributed to various factors such as increased competition, rising expenses, or changes in the pricing strategy.
Overall, while Titan International Inc has shown improvements in its operating profit margin over the years, there is a need to closely monitor and analyze the factors impacting this ratio to ensure sustainable profitability and operational efficiency.
Peer comparison
Dec 31, 2024