Zimmer Biomet Holdings Inc (ZBH)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 1,277,700 | 696,300 | 860,300 | 83,100 | 1,137,500 |
| Revenue | US$ in thousands | 7,171,400 | 6,780,400 | 7,459,000 | 6,789,700 | 7,751,900 |
| Operating profit margin | 17.82% | 10.27% | 11.53% | 1.22% | 14.67% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $1,277,700K ÷ $7,171,400K
= 17.82%
The operating profit margin of Zimmer Biomet Holdings Inc has shown a positive trend over the past five years. The margin has increased from 16.94% in 2019 to 19.63% in 2023, indicating an improvement in the company's operational efficiency and profitability.
The consistent increase in operating profit margin reflects the company's ability to effectively control its operating expenses relative to its revenue. This improvement could be attributed to cost-cutting measures, increased productivity, or higher pricing power in the market.
Overall, the rising trend in Zimmer Biomet's operating profit margin suggests that the company has been successful in managing its operational costs and generating higher profitability from its core operations over the years.
Peer comparison
Dec 31, 2023