Advanced Drainage Systems Inc (WMS)
Operating profit margin
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 657,436 | 676,124 | 702,526 | 713,187 | 732,131 | 722,385 | 693,606 | 713,154 | 719,310 | 674,456 | 660,283 | 554,259 | 411,918 | 364,031 | 336,680 | 346,693 | 344,525 | 318,394 | 276,451 | 212,096 |
| Revenue (ttm) | US$ in thousands | 2,904,245 | 2,942,324 | 2,914,153 | 2,911,763 | 2,874,473 | 2,838,192 | 2,830,992 | 2,934,981 | 3,071,121 | 3,131,749 | 3,191,939 | 3,014,201 | 2,769,315 | 2,534,937 | 2,305,725 | 2,143,441 | 1,982,780 | 1,909,739 | 1,817,018 | 1,768,736 |
| Operating profit margin | 22.64% | 22.98% | 24.11% | 24.49% | 25.47% | 25.45% | 24.50% | 24.30% | 23.42% | 21.54% | 20.69% | 18.39% | 14.87% | 14.36% | 14.60% | 16.17% | 17.38% | 16.67% | 15.21% | 11.99% |
March 31, 2025 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $657,436K ÷ $2,904,245K
= 22.64%
Advanced Drainage Systems Inc has seen fluctuations in its operating profit margin over the period from June 30, 2020, to March 31, 2025. The operating profit margin, which represents the percentage of revenue remaining after accounting for operating expenses, started at 11.99% on June 30, 2020, and increased steadily until reaching a peak of 25.47% on March 31, 2024.
However, the operating profit margin experienced a slight decline in the following quarters, settling at 22.64% on March 31, 2025. Despite the recent decrease, the company's operating profit margin has generally shown an upward trend over the period analyzed, indicating an improvement in operational efficiency and cost management.
It is essential for Advanced Drainage Systems Inc to continue monitoring and managing its operating expenses to sustain and enhance its operating profit margin performance in the future. This ratio is crucial in assessing the company's profitability and efficiency in generating profits from its core operations.