Xoma Royalty(Xomao) Financials: Operating Profit Margin Compared To Industry Average, Plus Other Key Ratios

Company Report for XOMAO

Report - operating profit margin

This chart shows the historical trend of operating profit margin for XOMAO 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', XOMAO's operating profit margin was 45.9%, highlighting profit earned from core business operations. Industry average for Biotechnology: Pharmaceutical Preparations in '2021' stood at -185.4%.
• In '2022', XOMAO's operating profit margin was -288.9%, highlighting profit earned from core business operations. The decline from '2021' may indicate some operational or financial challenges. Industry average for Biotechnology: Pharmaceutical Preparations in '2022' stood at -175.3%. Industry average increased by 10.1% compared to previous year.
• In '2023', XOMAO's operating profit margin was -460.0%, highlighting profit earned from core business operations. The decline from '2022' may indicate some operational or financial challenges. Industry average for Biotechnology: Pharmaceutical Preparations in '2023' stood at -144.9%. Industry average increased by 30.4% compared to previous year.
• In '2024', XOMAO's operating profit margin was -88.8%, highlighting profit earned from core business operations. The increase since '2023' reflects strengthening financial performance. Industry average for Biotechnology: Pharmaceutical Preparations in '2024' stood at -153.1%. Industry average declined by 8.3% from previous year.
Overall, XOMAO's operating profit margin has been volatile but showed a downward trend over the past 4 years.

Formula: Operating Profit Margin = Operating Income / Revenue

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