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 '2022', UVV's operating profit margin was 8.0%, highlighting profit earned from core business operations. Industry average for Farming/Seeds/Milling in '2022' stood at -47.2%.
• In '2023', UVV's operating profit margin was 7.0%, highlighting profit earned from core business operations. The decline from '2022' may indicate some operational or financial challenges. Industry average for Farming/Seeds/Milling in '2023' stood at -22.9%. Industry average increased by 24.3% compared to previous year.
• In '2024', UVV's operating profit margin was 8.2%, highlighting profit earned from core business operations. The increase since '2023' reflects strengthening financial performance. Industry average for Farming/Seeds/Milling in '2024' stood at -25.6%. Industry average declined by 2.7% from previous year.
• In '2025', UVV's operating profit margin was 8.3%, highlighting profit earned from core business operations. The increase since '2024' reflects strengthening financial performance. Industry average for Farming/Seeds/Milling in '2025' stood at 8.3%. Industry average increased by 33.8% compared to previous year.
Overall, UVV's operating profit margin has remained generally stable over the past 4 years.

Formula: Operating Profit Margin = Operating Income / Revenue

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