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', GATX's operating profit margin was 23.6%, highlighting profit earned from core business operations. Industry average for Transportation Services in '2021' stood at -37.4%.
• In '2022', GATX's operating profit margin was 26.7%, highlighting profit earned from core business operations. The increase since '2021' reflects strengthening financial performance. Industry average for Transportation Services in '2022' stood at -13.4%. Industry average increased by 24.0% compared to previous year.
• In '2023', GATX's operating profit margin was 27.5%, highlighting profit earned from core business operations. The increase since '2022' reflects strengthening financial performance. Industry average for Transportation Services in '2023' stood at -10.8%. Industry average increased by 2.6% compared to previous year.
• In '2024', GATX's operating profit margin was 29.9%, highlighting profit earned from core business operations. The increase since '2023' reflects strengthening financial performance. Industry average for Transportation Services in '2024' stood at -2.9%. Industry average increased by 7.9% compared to previous year.
Overall, GATX's operating profit margin has steadily improved over the past 4 years.

Formula: Operating Profit Margin = Operating Income / Revenue

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