Rapid Micro Biosystems(Rpid) Financials: Operating Profit Margin Compared To Industry Average, Plus Other Key Ratios
Company Report for RPID
Report - operating profit margin
This chart shows the historical trend of operating profit margin for RPID 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', RPID's operating profit margin was -203.3%, highlighting profit earned from core business operations. Industry average for Biotechnology: Laboratory Analytical Instruments in '2021' stood at -58.0%.
• In '2022', RPID's operating profit margin was -369.0%, highlighting profit earned from core business operations. The decline from '2021' may indicate some operational or financial challenges. Industry average for Biotechnology: Laboratory Analytical Instruments in '2022' stood at -160.4%. Industry average declined by 102.4% from previous year.
• In '2023', RPID's operating profit margin was -251.2%, highlighting profit earned from core business operations. The increase since '2022' reflects strengthening financial performance. Industry average for Biotechnology: Laboratory Analytical Instruments in '2023' stood at -87.7%. Industry average increased by 72.7% compared to previous year.
• In '2024', RPID's operating profit margin was -178.0%, highlighting profit earned from core business operations. The increase since '2023' reflects strengthening financial performance. Industry average for Biotechnology: Laboratory Analytical Instruments in '2024' stood at -123.2%. Industry average declined by 35.5% from previous year.
Overall, RPID's operating profit margin has been volatile but showed an upward trend over the past 4 years.
Formula: Operating Profit Margin = Operating Income / Revenue
Good Range: Often 10%-30% depending on business model.