Polestar Automotive Uk Plc -1 Ads (Adw)(Psnyw) Financials: Operating Profit Margin Compared To Industry Average, Plus Other Key Ratios

Company Report for PSNYW

Report - operating profit margin

This chart shows the historical trend of operating profit margin for PSNYW 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', PSNYW's operating profit margin was -67.7%, highlighting profit earned from core business operations. Industry average for Auto Manufacturing in '2021' stood at -21.9%.
• In '2022', PSNYW's operating profit margin was -52.6%, highlighting profit earned from core business operations. The increase since '2021' reflects strengthening financial performance. Industry average for Auto Manufacturing in '2022' stood at -106.8%. Industry average declined by 85.0% from previous year.
• In '2023', PSNYW's operating profit margin was -64.3%, highlighting profit earned from core business operations. The decline from '2022' may indicate some operational or financial challenges. Industry average for Auto Manufacturing in '2023' stood at -154.5%. Industry average declined by 47.7% from previous year.
• In '2024', PSNYW's operating profit margin was -87.6%, highlighting profit earned from core business operations. The decline from '2023' may indicate some operational or financial challenges. Industry average for Auto Manufacturing in '2024' stood at -78.7%. Industry average increased by 75.8% compared to previous year.
Overall, PSNYW's operating profit margin has been volatile but showed a downward trend over the past 4 years.

Formula: Operating Profit Margin = Operating Income / Revenue

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