Adagio Medical(Adgm) Financials: Operating Profit Margin Compared To Industry Average, Plus Other Key Ratios

Company Report for ADGM

Report - operating profit margin

This chart shows the historical trend of operating profit margin for ADGM compared to its industry average over the recent years.

Ratio Definition and Interpretation

Name: Operating Profit Margin

Definition: Operating profit margin focuses on profits from the company’s core business — before interest payments and taxes. It reflects how well the business manages operating costs relative to sales. Strong operating margins show efficient day-to-day operations. Shrinking margins may reveal rising overhead, pricing weakness, or declining efficiency.

Interpretation:
• In '2021', ADGM's operating profit margin was -7646.3%, highlighting profit earned from core business operations. Industry average for Medical/Dental Instruments in '2021' stood at -52.1%.
• In '2022', ADGM's operating profit margin was -12652.4%, highlighting profit earned from core business operations. The decline from '2021' may indicate some operational or financial challenges. Industry average for Medical/Dental Instruments in '2022' stood at -53.8%. Industry average declined by 1.7% from previous year.
• In '2023', ADGM's operating profit margin was -9314.0%, highlighting profit earned from core business operations. The increase since '2022' reflects strengthening financial performance. Industry average for Medical/Dental Instruments in '2023' stood at -75.2%. Industry average declined by 21.3% from previous year.
Overall, ADGM's operating profit margin has been volatile but showed a downward trend over the past 3 years.

Formula: Operating Profit Margin = Operating Income / Revenue

Good Range: Often 10%-30% depending on business model.