Cactus Inc (WHD)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 289,613 | 264,366 | 174,748 | 75,427 | 70,039 |
| Revenue | US$ in thousands | 1,129,810 | 1,096,960 | 688,369 | 438,589 | 348,566 |
| Operating profit margin | 25.63% | 24.10% | 25.39% | 17.20% | 20.09% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $289,613K ÷ $1,129,810K
= 25.63%
To analyze the operating profit margin trend of Cactus Inc over the years, we observe a fluctuating pattern. In 2020, the operating profit margin was 20.09%, indicating that the company earned $0.20 in operating profit for every $1 in sales. Subsequently, there was a decrease in the operating profit margin to 17.20% in 2021, suggesting a decline in the company's profitability efficiency.
However, the trend reversed in 2022 as the operating profit margin increased significantly to 25.39%, reflecting improved operational efficiency and profitability. This positive momentum was sustained in 2023 and 2024, with operating profit margins of 24.10% and 25.63% respectively.
Overall, the upward trend from 2022 to 2024 indicates that Cactus Inc has been effectively managing its operating expenses and generating higher profitability from its core business operations. The company's ability to maintain or improve its operating profit margin is a positive sign of financial health and effective cost management strategies.
Peer comparison
Dec 31, 2024