Wolfspeed Inc (WOLF)
Operating profit margin
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | -445,300 | -311,800 | -247,800 | -313,900 | -224,100 |
| Revenue | US$ in thousands | 807,400 | 878,100 | 699,200 | 478,000 | 880,600 |
| Operating profit margin | -55.15% | -35.51% | -35.44% | -65.67% | -25.45% |
June 30, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $-445,300K ÷ $807,400K
= -55.15%
The operating profit margin of Wolfspeed Inc has shown fluctuations over the past five years. In Jun 30, 2024, the operating profit margin was at -55.15%, indicating that the company's operating expenses exceeded its operating income, resulting in a negative margin. This represents a significant decrease compared to the prior year when the operating profit margin was at -35.51%.
Looking back at Jun 30, 2022 and Jun 30, 2023, Wolfspeed Inc also had negative operating profit margins of -35.44% and -65.67% respectively. The company's profitability was particularly low in 2021, with an operating profit margin of -65.67%, indicating challenges in generating profit from its core operations.
In Jun 30, 2020, the operating profit margin showed a slight improvement at -25.45% compared to the following years. However, overall, Wolfspeed Inc has struggled to achieve positive operating margins in recent years, indicating inefficiencies in controlling operating expenses relative to its sales.
It is crucial for the company to closely monitor and manage its operating costs to improve its operating profit margin and overall financial performance.
Peer comparison
Jun 30, 2024