XPO Logistics Inc (XPO)
Operating profit margin
| 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 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 438,000 | 323,000 | 308,000 | 372,000 | 377,000 | 439,000 | 365,000 | 314,000 | 312,000 | 399,000 | 472,000 | 251,000 | 228,000 | 17,000 | 108,000 | 467,000 | 561,000 | 745,000 | 725,000 | 695,000 |
| Revenue (ttm) | US$ in thousands | 7,744,000 | 7,635,000 | 7,601,000 | 7,731,000 | 7,718,000 | 9,283,000 | 10,607,000 | 11,746,000 | 12,841,000 | 12,465,000 | 11,870,000 | 12,186,000 | 13,061,000 | 14,227,000 | 15,706,000 | 16,442,000 | 16,698,000 | 16,901,000 | 17,082,000 | 17,207,000 |
| Operating profit margin | 5.66% | 4.23% | 4.05% | 4.81% | 4.88% | 4.73% | 3.44% | 2.67% | 2.43% | 3.20% | 3.98% | 2.06% | 1.75% | 0.12% | 0.69% | 2.84% | 3.36% | 4.41% | 4.24% | 4.04% |
December 31, 2023 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $438,000K ÷ $7,744,000K
= 5.66%
The operating profit margin for XPO Inc has shown some variability over the past eight quarters, ranging from a low of 5.75% in Q1 2022 to a high of 8.11% in Q3 2022. Despite this variability, the operating profit margins have generally remained in the range of 6.53% to 8.11% over the period analyzed.
The trend indicates that the operating profit margin decreased in Q2 and Q3 2023 compared to the previous quarters, with values of 6.53% and 6.91% respectively. However, it rebounded slightly in Q4 2023 to 7.01%. This suggests that there may have been some challenges or factors affecting profitability in the middle of the year, which were partially mitigated by improved performance towards the end of the year.
Overall, maintaining an operating profit margin above 6% indicates that XPO Inc has been able to generate a reasonable level of profitability from its operations. However, the company may need to focus on optimizing costs and improving operational efficiencies to sustain or improve its profitability in the future.
Peer comparison
Dec 31, 2023