Worthington Industries Inc (WOR)
Operating profit margin
| Aug 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | -13,674 | 113,597 | 113,316 | 112,234 | 186,272 | 129,095 | 162,706 | 260,185 | 329,268 | 374,331 | 386,492 | 333,391 | 167,473 | 63,360 | 12,202 | 6,956 | 22,489 | 48,156 | 75,519 | 79,265 |
| Revenue (ttm) | US$ in thousands | 1,972,901 | 2,944,453 | 2,974,013 | 3,062,633 | 4,159,375 | 4,450,815 | 5,482,740 | 5,540,060 | 5,242,220 | 4,700,239 | 4,081,108 | 3,579,340 | 3,171,429 | 2,804,737 | 2,809,624 | 2,906,169 | 3,059,119 | 3,386,334 | 3,496,719 | 3,627,308 |
| Operating profit margin | -0.69% | 3.86% | 3.81% | 3.66% | 4.48% | 2.90% | 2.97% | 4.70% | 6.28% | 7.96% | 9.47% | 9.31% | 5.28% | 2.26% | 0.43% | 0.24% | 0.74% | 1.42% | 2.16% | 2.19% |
August 31, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-13,674K ÷ $1,972,901K
= -0.69%
The operating profit margin of Worthington Industries Inc has shown fluctuation over the past few periods. The trend indicates a decline from the high levels of around 9%-10% in the second half of 2021 to the low levels of around 0%-4% in 2023 and 2024. The company experienced negative operating profit margins in August 2024, indicating a loss on its operations.
This decline in operating profit margin may be a cause for concern as it suggests that the company's operating expenses may be increasing faster than its revenue generation. Management should closely monitor and analyze the factors contributing to this trend, such as cost control measures, pricing strategies, and operational efficiency.
Overall, the negative operating profit margin in the most recent period requires urgent attention and action to reverse this trend to ensure the company's long-term financial health and sustainability.
Peer comparison
Aug 31, 2024