Operating Profit Margin
since 2014
Calculation
Arista Networks Inc., operating profit margin, long-term trends, calculation
| Operating profit margin | = | 100 | × | Income from operations1 | ÷ | Revenue1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2025 | 42.82% | = | 100 | × | 3,856,100) | ÷ | 9,005,700) |
| Dec 31, 2024 | 42.05% | = | 100 | × | 2,944,616) | ÷ | 7,003,146) |
| Dec 31, 2023 | 38.52% | = | 100 | × | 2,257,249) | ÷ | 5,860,168) |
| Dec 31, 2022 | 34.86% | = | 100 | × | 1,527,106) | ÷ | 4,381,310) |
| Dec 31, 2021 | 31.37% | = | 100 | × | 924,739) | ÷ | 2,948,037) |
| Dec 31, 2020 | 30.19% | = | 100 | × | 699,684) | ÷ | 2,317,512) |
| Dec 31, 2019 | 33.42% | = | 100 | × | 805,774) | ÷ | 2,410,706) |
| Dec 31, 2018 | 12.71% | = | 100 | × | 273,347) | ÷ | 2,151,369) |
| Dec 31, 2017 | 28.57% | = | 100 | × | 470,272) | ÷ | 1,646,186) |
| Dec 31, 2016 | 21.56% | = | 100 | × | 243,409) | ÷ | 1,129,167) |
| Dec 31, 2015 | 17.83% | = | 100 | × | 149,308) | ÷ | 837,591) |
| Dec 31, 2014 | 21.49% | = | 100 | × | 125,513) | ÷ | 584,106) |
Based on: 10-K (reporting date: 2025-12-31), 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), 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).
1 US$ in thousands
The operating profit margin exhibited considerable fluctuation between 2014 and 2025. Initially, the margin decreased from 2014 to 2015 before demonstrating a period of growth and volatility. More recently, the margin has shown a consistent upward trend.
- Initial Period (2014-2018)
- In 2014, the operating profit margin stood at 21.49%. A decrease was observed in 2015, falling to 17.83%. The margin then recovered to 21.56% in 2016, followed by a substantial increase to 28.57% in 2017. However, 2018 saw a significant decline to 12.71%, representing the lowest margin within the analyzed period.
- Growth and Stabilization (2019-2021)
- A strong recovery began in 2019, with the operating profit margin rising sharply to 33.42%. This upward momentum continued into 2020, reaching 30.19%, and further increased to 31.37% in 2021. This period suggests improved operational efficiency and cost management.
- Recent Trend (2022-2025)
- The operating profit margin continued its upward trajectory from 2022 onwards. It increased to 34.86% in 2022, then to 38.52% in 2023. This positive trend persisted, reaching 42.05% in 2024 and culminating in 42.82% in 2025. This consistent growth indicates strengthening profitability and potentially increasing pricing power.
- Overall Observation
- The operating profit margin demonstrates a clear pattern of volatility followed by sustained improvement. While earlier years experienced significant swings, the latter portion of the period shows a consistent and robust increase, suggesting a positive shift in the company’s operational performance and financial health.
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Comparison to Competitors
Arista Networks Inc., operating profit margin, long-term trends, comparison to competitors
| Arista Networks Inc. | Apple Inc. | Cisco Systems Inc. | Dell Technologies Inc. | Lumentum Holdings Inc. | Super Micro Computer Inc. | |
|---|---|---|---|---|---|---|
| Dec 31, 2025 | 42.82% | 31.97% | 20.76% | 6.53% | -10.95% | 5.70% |
| Dec 31, 2024 | 42.05% | 31.51% | 22.64% | 5.89% | -31.93% | 8.08% |
| Dec 31, 2023 | 38.52% | 29.82% | 26.37% | 5.64% | -6.55% | 10.68% |
| Dec 31, 2022 | 34.86% | 30.29% | 27.09% | 4.60% | 17.71% | 6.45% |
| Dec 31, 2021 | 31.37% | 29.78% | 25.76% | 5.46% | 30.24% | 3.48% |
| Dec 31, 2020 | 30.19% | 24.15% | 27.63% | 2.85% | 12.16% | 2.57% |
| Dec 31, 2019 | 33.42% | 24.57% | 27.39% | -0.21% | -1.38% | 2.78% |
| Dec 31, 2018 | 12.71% | 26.69% | 24.95% | — | 11.21% | 2.82% |
| Dec 31, 2017 | 28.57% | 26.76% | 24.94% | — | 4.75% | 3.82% |
| Dec 31, 2016 | 21.56% | 27.84% | 25.71% | — | 1.27% | 4.82% |
| Dec 31, 2015 | 17.83% | 30.48% | 21.91% | — | -2.80% | 7.37% |
| Dec 31, 2014 | 21.49% | 28.72% | 19.82% | — | — | 5.47% |
Based on: 10-K (reporting date: 2025-12-31), 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), 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).