Lionsgate Studios Common Shares(Lion) Financials: Operating Profit Margin Compared To Industry Average, Plus Other Key Ratios
Company Report for LION
Report - operating profit margin
This chart shows the historical trend of operating profit margin for LION 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', LION's operating profit margin was 6.1%, highlighting profit earned from core business operations. Industry average for Movies/Entertainment in '2021' stood at -84.2%.
• In '2022', LION's operating profit margin was 4.3%, highlighting profit earned from core business operations. The decline from '2021' may indicate some operational or financial challenges. Industry average for Movies/Entertainment in '2022' stood at -21.0%. Industry average increased by 63.3% compared to previous year.
• In '2023', LION's operating profit margin was 5.4%, highlighting profit earned from core business operations. The increase since '2022' reflects strengthening financial performance. Industry average for Movies/Entertainment in '2023' stood at -16.1%. Industry average increased by 4.8% compared to previous year.
Overall, LION's operating profit margin has remained generally stable over the past 3 years.
Formula: Operating Profit Margin = Operating Income / Revenue
Good Range: Often 10%-30% depending on business model.