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', PANL's operating profit margin was 11.0%, highlighting profit earned from core business operations. Industry average for Marine Transportation in '2021' stood at -12.8%.
• In '2022', PANL's operating profit margin was 15.6%, highlighting profit earned from core business operations. The increase since '2021' reflects strengthening financial performance. Industry average for Marine Transportation in '2022' stood at 25.3%. Industry average increased by 38.1% compared to previous year.
• In '2023', PANL's operating profit margin was 9.3%, highlighting profit earned from core business operations. The decline from '2022' may indicate some operational or financial challenges. Industry average for Marine Transportation in '2023' stood at 20.8%. Industry average declined by 4.4% from previous year.
• In '2024', PANL's operating profit margin was 9.0%, highlighting profit earned from core business operations. The decline from '2023' may indicate some operational or financial challenges. Industry average for Marine Transportation in '2024' stood at 19.4%. Industry average declined by 1.4% from previous year.
Overall, PANL's operating profit margin has been volatile but generally stable over the past 4 years.

Formula: Operating Profit Margin = Operating Income / Revenue

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