Worthington Steel Inc (WS)
Operating profit margin
| May 31, 2025 | May 31, 2024 | Aug 31, 2023 | May 31, 2023 | Aug 31, 2022 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 147,000 | 194,500 | 127,485 | 127,485 | 226,576 |
| Revenue | US$ in thousands | 3,093,300 | 3,430,600 | 3,611,590 | 3,611,590 | 4,068,930 |
| Operating profit margin | 4.75% | 5.67% | 3.53% | 3.53% | 5.57% |
May 31, 2025 calculation
Operating profit margin = Operating income ÷ Revenue
= $147,000K ÷ $3,093,300K
= 4.75%
The analysis of Worthington Steel Inc.’s operating profit margin over the specified periods reveals notable fluctuations that reflect changes in the company's core profitability. As of August 31, 2022, the operating profit margin stood at 5.57%, indicating a relatively healthy level of profitability from operations. By May 31, 2023, this margin had decreased significantly to 3.53%, suggesting a decline in operating efficiency or increased operational costs during that period. The margin remained unchanged at 3.53% by August 31, 2023, implying stability in operational profitability at that lower level.
Subsequently, a recovery was observed by May 31, 2024, when the operating profit margin increased to 5.67%, surpassing previous levels and indicating improved operational performance or efficiency gains. However, this upward trend did not sustain into May 31, 2025, when the margin declined again to 4.75%, reflecting a potential re-emergence of operational challenges or increased expenses impacting profitability.
Overall, the operating profit margin exhibited a pattern of decline from late 2022 to mid-2023, followed by a recovery within the next year, and then a modest decline again by mid-2025. This volatility underscores the importance of monitoring operational factors and cost controls that influence profitability margins over time.
Peer comparison
May 31, 2025