Stock Analysis on Net

AppLovin Corp. (NASDAQ:APP)

$24.99

Operating Profit Margin
since 2021

Microsoft Excel

Calculation

AppLovin Corp., operating profit margin, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).

1 US$ in thousands


Revenue
The revenue has exhibited a clear upward trajectory from 2021 through 2024. Starting at approximately 2.79 billion US dollars in 2021, it showed a modest increase in 2022, followed by a more substantial rise in 2023, culminating in a significant surge to nearly 4.71 billion US dollars by 2024. This pattern suggests consistent top-line growth, particularly accelerating in the latter years.
Income (loss) from operations
The operating income experienced volatility over the analyzed period. In 2021, the company reported a positive operating income of about 150 million US dollars. However, in 2022, this figure shifted dramatically to a loss of nearly 48 million US dollars, indicating operational challenges during that year. Subsequently, there was a remarkable recovery and growth, with operating income rebounding strongly to over 648 million US dollars in 2023 and reaching approximately 1.87 billion US dollars in 2024, reflecting improved operational efficiency or cost management alongside revenue growth.
Operating profit margin
The operating profit margin mirrored the income trends closely, turning negative in 2022 to -1.7%, which highlights a year where operational expenses outweighed revenues. The margin then improved significantly in 2023 to nearly 19.74%, signifying a transition back to profitability with enhanced operational leverage. This positive trend continued into 2024, with the margin increasing sharply to nearly 39.78%, indicating a strong capacity to convert revenue into operating profit and reflecting highly efficient operations.

Comparison to Competitors

AppLovin Corp., operating profit margin, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).