Waste Management Inc (WM)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 3,575,000 | 3,365,000 | 2,965,000 | 2,434,000 | 2,706,000 |
| Revenue | US$ in thousands | 19,878,000 | 19,294,000 | 17,348,000 | 14,701,000 | 14,912,000 |
| Operating profit margin | 17.98% | 17.44% | 17.09% | 16.56% | 18.15% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $3,575,000K ÷ $19,878,000K
= 17.98%
The operating profit margin of Waste Management, Inc. has shown a generally increasing trend over the past five years. The margin increased from 17.46% in 2019 to 18.42% in 2023. This indicates that the company has been able to generate more profit from its core operations over time. The consistent improvement in operating profit margin reflects the company's efficiency in controlling costs and managing its operating expenses effectively. It also suggests that Waste Management has been successful in enhancing its operational profitability and efficiency, which is a positive sign for investors and stakeholders.
Peer comparison
Dec 31, 2023