Operating Profit Margin
since 2005
Calculation
Fiserv Inc., operating profit margin, long-term trends, calculation
| Operating profit margin | = | 100 | × | Operating income1 | ÷ | Revenue1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 14.10% | = | 100 | × | 2,288) | ÷ | 16,226) |
| Dec 31, 2020 | 12.47% | = | 100 | × | 1,852) | ÷ | 14,852) |
| Dec 31, 2019 | 15.79% | = | 100 | × | 1,609) | ÷ | 10,187) |
| Dec 31, 2018 | 30.10% | = | 100 | × | 1,753) | ÷ | 5,823) |
| Dec 31, 2017 | 26.90% | = | 100 | × | 1,532) | ÷ | 5,696) |
| Dec 31, 2016 | 26.25% | = | 100 | × | 1,445) | ÷ | 5,505) |
| Dec 31, 2015 | 24.95% | = | 100 | × | 1,311) | ÷ | 5,254) |
| Dec 31, 2014 | 23.88% | = | 100 | × | 1,210) | ÷ | 5,066) |
| Dec 31, 2013 | 22.04% | = | 100 | × | 1,061) | ÷ | 4,814) |
| Dec 31, 2012 | 23.56% | = | 100 | × | 1,056) | ÷ | 4,482) |
| Dec 31, 2011 | 22.97% | = | 100 | × | 996) | ÷ | 4,337) |
| Dec 31, 2010 | 24.36% | = | 100 | × | 1,007) | ÷ | 4,133) |
| Dec 31, 2009 | 23.20% | = | 100 | × | 946) | ÷ | 4,077) |
| Dec 31, 2008 | 18.78% | = | 100 | × | 890) | ÷ | 4,739) |
| Dec 31, 2007 | 18.61% | = | 100 | × | 730) | ÷ | 3,922) |
| Dec 31, 2006 | 16.38% | = | 100 | × | 744) | ÷ | 4,544) |
| Dec 31, 2005 | 18.36% | = | 100 | × | 745) | ÷ | 4,059) |
Based on: 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), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The financial performance between 2005 and 2021 is characterized by two distinct operational phases: a long-term period of margin expansion followed by a significant shift in revenue scale and a simultaneous compression of profitability ratios.
- Operational Efficiency Trends (2005–2018)
- From 2005 to 2018, a consistent improvement in operational efficiency was observed. The operating profit margin rose from 18.36% in 2005 to a peak of 30.10% in 2018. This growth occurred alongside a steady but moderate increase in revenue, which grew from 4,059 million US dollars to 5,823 million US dollars over this thirteen-year period. During this phase, operating income grew proportionally, reflecting strong cost management and scalability.
- Revenue Scale and Margin Compression (2019–2021)
- A structural shift in the financial profile is evident starting in 2019. Revenue experienced a dramatic increase, rising from 5,823 million US dollars in 2018 to 16,226 million US dollars by 2021. This rapid expansion in top-line growth coincided with a sharp decline in the operating profit margin, which fell to 15.79% in 2019 and reached a low of 12.47% in 2020, before slightly recovering to 14.10% in 2021. This inverse relationship suggests the integration of high-volume, lower-margin business segments or significant integration costs associated with rapid scaling.
- Operating Income Dynamics
- Absolute operating income demonstrated resilience despite the margin volatility. After reaching 1,753 million US dollars in 2018, there was a temporary dip to 1,609 million US dollars in 2019. However, by 2021, operating income reached its highest point in the analyzed period at 2,288 million US dollars. This indicates that while the percentage of profit per dollar of revenue decreased, the sheer increase in revenue scale eventually led to higher absolute profitability.
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Comparison to Competitors
Fiserv Inc., operating profit margin, long-term trends, comparison to competitors
| Fiserv Inc. | Accenture PLC | Adobe Inc. | AppLovin Corp. | Cadence Design Systems Inc. | Datadog Inc. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 14.10% | 15.08% | 36.76% | 5.37% | 26.07% | -1.86% | 25.95% | 41.59% | 37.58% | -26.66% | -7.15% | 2.14% | 4.36% | 17.48% | -5.76% |
| Dec 31, 2020 | 12.47% | 14.69% | 32.93% | — | 24.06% | -2.28% | 28.34% | 37.03% | 35.57% | -107.41% | -5.25% | 1.74% | 4.40% | 16.83% | -13.85% |
| Dec 31, 2019 | 15.79% | 14.59% | 29.25% | — | 21.05% | -5.55% | 27.33% | 34.14% | 34.26% | — | -1.87% | 4.03% | 1.22% | 15.48% | -16.42% |
| Dec 31, 2018 | 30.10% | 14.04% | 31.45% | — | 18.53% | — | 25.10% | 31.77% | 34.34% | — | -5.68% | 2.25% | -1.63% | 11.54% | -14.15% |
| Dec 31, 2017 | 26.90% | 12.60% | 29.69% | — | 16.67% | — | 26.95% | 24.82% | 33.69% | — | -10.21% | 0.77% | -5.25% | 12.76% | -24.00% |
| Dec 31, 2016 | 26.25% | 13.82% | 25.51% | — | 13.49% | — | 26.46% | 23.65% | 34.02% | — | -13.79% | 1.72% | -30.41% | 13.10% | -22.77% |
| Dec 31, 2015 | 24.95% | 13.48% | 18.83% | — | 16.77% | — | 17.60% | 19.41% | 36.29% | — | -14.39% | -2.71% | -16.55% | 11.88% | -27.38% |
| Dec 31, 2014 | 23.88% | 13.49% | 9.95% | — | 13.07% | — | 29.16% | 31.97% | 38.56% | — | -36.00% | -7.03% | -22.24% | 12.09% | -32.69% |
| Dec 31, 2013 | 22.04% | 14.27% | 10.42% | — | 12.94% | — | 29.56% | 34.38% | 39.49% | — | -4.70% | -3.63% | -15.61% | 12.56% | -43.07% |
| Dec 31, 2012 | 23.56% | 13.00% | 26.80% | — | 15.96% | — | 28.35% | 29.52% | 36.92% | — | 1.53% | -1.55% | -15.42% | 10.82% | — |
| Dec 31, 2011 | 22.97% | 12.69% | 26.07% | — | 10.47% | — | 26.15% | 38.83% | 33.78% | — | — | 5.88% | — | 13.86% | — |
| Dec 31, 2010 | 24.36% | 12.62% | 26.13% | — | -3.09% | — | 24.98% | 38.57% | 33.79% | — | — | 8.83% | — | 13.33% | — |
| Dec 31, 2009 | 23.20% | 11.41% | 23.44% | — | -14.50% | — | 21.43% | 34.85% | 35.79% | — | — | 5.92% | — | 15.31% | — |
| Dec 31, 2008 | 18.78% | 11.90% | 28.72% | — | -151.48% | — | 21.19% | 37.23% | 34.97% | — | — | 2.71% | — | 16.39% | — |
| Dec 31, 2007 | 18.61% | 11.62% | 27.16% | — | 19.68% | — | 23.85% | 36.23% | 33.20% | — | — | -0.72% | — | 9.74% | — |
| Dec 31, 2006 | 16.38% | 10.10% | 21.41% | — | 15.14% | — | 23.89% | 37.20% | 32.93% | — | — | 6.49% | — | 2.69% | — |
| Dec 31, 2005 | 18.36% | 12.35% | 37.05% | — | 8.94% | — | 25.72% | 36.60% | 34.09% | — | — | 3.70% | — | -5.34% | — |
Based on: 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), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).