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', STGW's operating profit margin was 4.2%, highlighting profit earned from core business operations. Industry average for Advertising in '2021' stood at -6.3%.
• In '2022', STGW's operating profit margin was 10.5%, highlighting profit earned from core business operations. The increase since '2021' reflects strengthening financial performance. Industry average for Advertising in '2022' stood at -8.3%. Industry average declined by 2.0% from previous year.
• In '2023', STGW's operating profit margin was 4.0%, highlighting profit earned from core business operations. The decline from '2022' may indicate some operational or financial challenges. Industry average for Advertising in '2023' stood at -38.1%. Industry average declined by 29.8% from previous year.
• In '2024', STGW's operating profit margin was 4.7%, highlighting profit earned from core business operations. The increase since '2023' reflects strengthening financial performance. Industry average for Advertising in '2024' stood at -12.5%. Industry average increased by 25.6% compared to previous year.
Overall, STGW'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.