Algorhythm(Rime) Financials: Operating Profit Margin Compared To Industry Average, Plus Other Key Ratios
Company Report for RIME
Report - operating profit margin
This chart shows the historical trend of operating profit margin for RIME 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', RIME's operating profit margin was 3.1%, highlighting profit earned from core business operations. Industry average for Diversified Electronic Products in '2021' stood at 3.1%.
• In '2022', RIME's operating profit margin was 0.1%, highlighting profit earned from core business operations. The decline from '2021' may indicate some operational or financial challenges. Industry average for Diversified Electronic Products in '2022' stood at 0.1%. Industry average declined by 3.0% from previous year.
• In '2023', RIME's operating profit margin was -9.4%, highlighting profit earned from core business operations. The decline from '2022' may indicate some operational or financial challenges. Industry average for Diversified Electronic Products in '2023' stood at -9.4%. Industry average declined by 9.6% from previous year.
• In '2023', RIME's operating profit margin was -9.4%, highlighting profit earned from core business operations. The figure remained stable compared to '2023'. Industry average for Diversified Electronic Products in '2023' stood at -9.4%. Industry average remained unchanged from prior year.
• In '2024', RIME's operating profit margin was -44.0%, highlighting profit earned from core business operations. The decline from '2023' may indicate some operational or financial challenges. Industry average for Diversified Electronic Products in '2024' stood at -44.0%. Industry average declined by 34.6% from previous year.
Overall, RIME's operating profit margin has been volatile but showed a downward trend over the past 5 years.
Formula: Operating Profit Margin = Operating Income / Revenue
Good Range: Often 10%-30% depending on business model.