Texas Instruments Incorporated (TXN)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 7,331,000 | 10,140,000 | 8,960,000 | 5,894,000 | 5,723,000 |
| Revenue | US$ in thousands | 17,508,000 | 20,028,000 | 18,344,000 | 14,461,000 | 14,383,000 |
| Operating profit margin | 41.87% | 50.63% | 48.84% | 40.76% | 39.79% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $7,331,000K ÷ $17,508,000K
= 41.87%
Texas Instruments Inc.'s operating profit margin has shown a fluctuating trend over the past five years. The margin was at its highest in 2022 at 51.91% before experiencing a decrease in 2023 to 41.85%. This decrease could indicate a potential decline in the company's operating efficiency and profitability. Despite the variation in recent years, the average operating profit margin for the period 2019-2023 stands at a relatively healthy level of approximately 45.10%. It is essential for Texas Instruments Inc. to closely monitor and manage its operating expenses to ensure sustained profitability and operational effectiveness in the future.
Peer comparison
Dec 31, 2023