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', GRVY's operating profit margin was 23.6%, highlighting profit earned from core business operations. Industry average for Business Services in '2021' stood at -14.6%.
• In '2022', GRVY's operating profit margin was 22.8%, highlighting profit earned from core business operations. The decline from '2021' may indicate some operational or financial challenges. Industry average for Business Services in '2022' stood at -21.3%. Industry average declined by 6.7% from previous year.
• In '2023', GRVY's operating profit margin was 22.4%, highlighting profit earned from core business operations. The decline from '2022' may indicate some operational or financial challenges. Industry average for Business Services in '2023' stood at -15.2%. Industry average increased by 6.0% compared to previous year.
• In '2024', GRVY's operating profit margin was 17.3%, highlighting profit earned from core business operations. The decline from '2023' may indicate some operational or financial challenges. Industry average for Business Services in '2024' stood at -12.1%. Industry average increased by 3.1% compared to previous year.
Overall, GRVY's operating profit margin has consistently declined during the past 4 years.

Formula: Operating Profit Margin = Operating Income / Revenue

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