Zimmer Biomet Holdings Inc (ZBH)

Operating profit margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Operating income (ttm)	US$ in thousands	1,285,700	1,250,900	1,238,000	1,216,300	1,277,700	895,200	873,900	825,200	696,300	858,400	856,100	800,000	860,300	1,138,100	1,194,300	797,800	83,100	8,300	-45,100	331,300
Revenue (ttm)	US$ in thousands	7,434,500	7,373,400	7,289,700	7,214,600	7,171,500	7,054,100	6,993,800	6,933,800	6,780,400	6,827,800	7,061,000	7,290,300	7,452,200	7,716,200	7,722,600	6,923,200	6,840,900	6,881,300	6,840,200	7,596,700
Operating profit margin		17.29%	16.97%	16.98%	16.86%	17.82%	12.69%	12.50%	11.90%	10.27%	12.57%	12.12%	10.97%	11.54%	14.75%	15.46%	11.52%	1.21%	0.12%	-0.66%	4.36%

December 31, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $1,285,700K ÷ $7,434,500K
= 17.29%

The operating profit margin of Zimmer Biomet Holdings Inc has shown fluctuations over the past few years, ranging from negative values to positive percentages. From March 31, 2020, where the operating profit margin stood at 4.36%, there was a dip to -0.66% by June 30, 2020, indicating a period of operational challenge. However, the company managed to improve its profitability gradually, reaching 11.52% by March 31, 2021.

Significant improvements were observed in the following quarters, with the operating profit margin climbing to 15.46% by June 30, 2021, and further rising to 17.82% by December 31, 2023. This upward trend demonstrates the company's enhanced efficiency in generating profits from its core operations.

Although there were slight fluctuations in the subsequent quarters, the operating profit margin remained relatively stable around the mid to high teens, indicating a sustained level of profitability for Zimmer Biomet Holdings Inc. By December 31, 2024, the operating profit margin stood at 17.29%.

Overall, the trend in the operating profit margin reflects Zimmer Biomet Holdings Inc's ability to effectively manage its operating expenses and generate profits from its business activities over the analyzed period.