Operating Profit Margin
since 2012
Calculation
Enphase Energy Inc., operating profit margin, long-term trends, calculation
| Operating profit margin | = | 100 | × | Income (loss) from operations1 | ÷ | Net revenues1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2023 | 19.46% | = | 100 | × | 445,741) | ÷ | 2,290,786) |
| Dec 31, 2022 | 19.23% | = | 100 | × | 448,261) | ÷ | 2,330,853) |
| Dec 31, 2021 | 15.62% | = | 100 | × | 215,832) | ÷ | 1,382,049) |
| Dec 31, 2020 | 24.07% | = | 100 | × | 186,439) | ÷ | 774,425) |
| Dec 31, 2019 | 16.45% | = | 100 | × | 102,729) | ÷ | 624,333) |
| Dec 31, 2018 | 0.50% | = | 100 | × | 1,596) | ÷ | 316,159) |
| Dec 31, 2017 | -13.76% | = | 100 | × | (39,378) | ÷ | 286,166) |
| Dec 31, 2016 | -19.44% | = | 100 | × | (62,700) | ÷ | 322,591) |
| Dec 31, 2015 | -5.40% | = | 100 | × | (19,309) | ÷ | 357,249) |
| Dec 31, 2014 | -1.29% | = | 100 | × | (4,429) | ÷ | 343,904) |
| Dec 31, 2013 | -9.52% | = | 100 | × | (22,158) | ÷ | 232,846) |
| Dec 31, 2012 | -14.38% | = | 100 | × | (31,161) | ÷ | 216,678) |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
1 US$ in thousands
- Income (loss) from operations
-
The income from operations shows a volatile trend over the period analyzed. Initially, there are significant operational losses from 2012 to 2017, with the lowest point in 2016 at -62,700 thousand USD. Starting in 2018, the company turns profitable with a positive income of 1,596 thousand USD, which then grows substantially through to 2023. The largest improvements occur between 2018 and 2022, with a peak operating income of 448,261 thousand USD in 2022 and a slightly lower value of 445,741 thousand USD in 2023, indicating sustained operational profitability in recent years.
- Net revenues
-
Net revenues exhibit a generally increasing trend over the years. From 2012 to 2017, revenues fluctuate, peaking initially in 2014 at 343,904 thousand USD, then declining to 286,166 thousand USD in 2017. Starting in 2018, revenues display substantial growth year-over-year, jumping from 316,159 thousand USD in 2018 to an impressive 2,330,786 thousand USD by 2023. This trend suggests strong expansion and increased sales activities, especially from 2019 onward, where revenues almost double in some years.
- Operating profit margin
-
The operating profit margin reflects the operational efficiency relative to revenues and starts negative throughout the early years, indicating the company was operating at a loss. Margins improve from -14.38% in 2012 to a marginal positive 0.5% in 2018, marking the transition to profitability. Thereafter, margins increase significantly, peaking at 24.07% in 2020. Although there is a decrease to 15.62% in 2021, the margin recovers slightly to approximately 19.46% by 2023. This pattern reflects improved cost management and operational scalability contributing to higher profitability in recent years.
- Summary
-
Overall, the data depicts a company experiencing early operational challenges and negative profitability, followed by a period of stabilization and robust growth. The operational losses through 2017 give way to consistent profitability beginning in 2018, coinciding with strong revenue growth and substantially improved operating margins. The firm's ability to significantly increase revenues by over sevenfold from 2017 to 2023 aligns with improved operational income and profit margins, indicating enhanced operational efficiency and successful scaling of business activities. While operating margins have varied, the trend remains strongly positive after 2017, supporting a favorable financial outlook in terms of profitability.
Comparison to Competitors
Enphase Energy Inc., operating profit margin, long-term trends, comparison to competitors
| Enphase Energy Inc. | Advanced Micro Devices Inc. | Analog Devices Inc. | Applied Materials Inc. | Broadcom Inc. | Intel Corp. | Lam Research Corp. | Micron Technology Inc. | NVIDIA Corp. | Qualcomm Inc. | Texas Instruments Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dec 31, 2023 | 19.46% | 1.77% | 31.07% | 28.86% | 45.25% | 0.17% | 29.69% | -36.97% | 15.66% | 21.74% | 41.85% |
| Dec 31, 2022 | 19.23% | 5.36% | 27.29% | 30.20% | 42.84% | 3.70% | 31.24% | 31.54% | 37.31% | 35.88% | 50.63% |
| Dec 31, 2021 | 15.62% | 22.20% | 23.12% | 29.87% | 31.03% | 24.62% | 30.64% | 22.68% | 27.18% | 29.16% | 48.84% |
| Dec 31, 2020 | 24.07% | 14.02% | 26.74% | 25.37% | 16.80% | 30.41% | 26.62% | 14.01% | 26.07% | 26.58% | 40.76% |
| Dec 31, 2019 | 16.45% | 9.37% | 28.55% | 22.93% | 15.24% | 30.62% | 25.53% | 31.51% | 32.47% | 31.59% | 39.79% |
| Dec 31, 2018 | 0.50% | 6.97% | 30.35% | 27.80% | 24.63% | 32.91% | 29.01% | 49.34% | 33.05% | 3.26% | 42.53% |
| Dec 31, 2017 | -13.76% | 3.83% | 20.66% | 26.61% | 13.51% | 28.58% | 23.74% | 28.88% | 27.99% | 11.73% | 40.66% |
| Dec 31, 2016 | -19.44% | -8.71% | 30.05% | 19.88% | -3.09% | 21.68% | 18.25% | 1.35% | 14.91% | 27.57% | 35.89% |
| Dec 31, 2015 | -5.40% | -12.05% | 24.19% | 17.53% | 23.92% | 25.29% | 14.98% | 18.52% | 16.21% | 22.85% | 32.88% |
| Dec 31, 2014 | -1.29% | -2.82% | 26.27% | 16.75% | 10.26% | 27.47% | 14.71% | 18.87% | 12.01% | 28.50% | 30.26% |
| Dec 31, 2013 | -9.52% | 1.94% | 28.59% | 5.75% | 21.90% | 23.32% | 3.28% | 2.60% | 15.15% | 29.08% | 23.20% |
| Dec 31, 2012 | -14.38% | -19.48% | 30.51% | 4.71% | 24.62% | 27.44% | 8.92% | -7.51% | 16.22% | 29.72% | 15.38% |
Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).