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', WGRX's operating profit margin was -10.4%, highlighting profit earned from core business operations. Industry average for Other Pharmaceuticals in '2022' stood at -19.7%.
• In '2024', WGRX's operating profit margin was -33.9%, highlighting profit earned from core business operations. The decline from '2022' may indicate some operational or financial challenges. Industry average for Other Pharmaceuticals in '2024' stood at -18.4%. Industry average increased by 1.2% compared to previous year.
Overall, WGRX's operating profit margin has been volatile but showed a downward trend over the past 2 years.

Formula: Operating Profit Margin = Operating Income / Revenue

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