Operating Profit Margin
since 2005
Calculation
Constellation Brands Inc., operating profit margin, long-term trends, calculation
| Operating profit margin | = | 100 | × | Operating income (loss)1 | ÷ | Net sales1 | |
|---|---|---|---|---|---|---|---|
| Feb 28, 2022 | 26.43% | = | 100 | × | 2,331,700) | ÷ | 8,820,700) |
| Feb 28, 2021 | 32.40% | = | 100 | × | 2,791,100) | ÷ | 8,614,900) |
| Feb 29, 2020 | 25.82% | = | 100 | × | 2,154,500) | ÷ | 8,343,500) |
| Feb 28, 2019 | 29.72% | = | 100 | × | 2,412,200) | ÷ | 8,116,000) |
| Feb 28, 2018 | 30.12% | = | 100 | × | 2,284,500) | ÷ | 7,585,000) |
| Feb 28, 2017 | 32.73% | = | 100 | × | 2,399,400) | ÷ | 7,331,500) |
| Feb 29, 2016 | 26.95% | = | 100 | × | 1,765,100) | ÷ | 6,548,400) |
| Feb 28, 2015 | 24.89% | = | 100 | × | 1,500,200) | ÷ | 6,028,000) |
| Feb 28, 2014 | 50.08% | = | 100 | × | 2,437,700) | ÷ | 4,867,700) |
| Feb 28, 2013 | 18.70% | = | 100 | × | 522,900) | ÷ | 2,796,100) |
| Feb 29, 2012 | 18.33% | = | 100 | × | 486,500) | ÷ | 2,654,300) |
| Feb 28, 2011 | 15.08% | = | 100 | × | 502,500) | ÷ | 3,332,000) |
| Feb 28, 2010 | 9.26% | = | 100 | × | 311,500) | ÷ | 3,364,800) |
| Feb 28, 2009 | 0.63% | = | 100 | × | 23,000) | ÷ | 3,654,600) |
| Feb 29, 2008 | -9.45% | = | 100 | × | (356,700) | ÷ | 3,773,000) |
| Feb 28, 2007 | 13.40% | = | 100 | × | 699,000) | ÷ | 5,216,400) |
| Feb 28, 2006 | 14.47% | = | 100 | × | 666,115) | ÷ | 4,603,448) |
| Feb 28, 2005 | 13.89% | = | 100 | × | 567,896) | ÷ | 4,087,638) |
Based on: 10-K (reporting date: 2022-02-28), 10-K (reporting date: 2021-02-28), 10-K (reporting date: 2020-02-29), 10-K (reporting date: 2019-02-28), 10-K (reporting date: 2018-02-28), 10-K (reporting date: 2017-02-28), 10-K (reporting date: 2016-02-29), 10-K (reporting date: 2015-02-28), 10-K (reporting date: 2014-02-28), 10-K (reporting date: 2013-02-28), 10-K (reporting date: 2012-02-29), 10-K (reporting date: 2011-02-28), 10-K (reporting date: 2010-02-28), 10-K (reporting date: 2009-02-28), 10-K (reporting date: 2008-02-29), 10-K (reporting date: 2007-02-28), 10-K (reporting date: 2006-02-28), 10-K (reporting date: 2005-02-28).
1 US$ in thousands
The operational profitability of the organization experienced three distinct phases between 2005 and 2022: an initial period of moderate stability, a severe contraction followed by a recovery cycle, and a sustained era of significantly expanded margins.
- Early Performance and Volatility (2005–2009)
- From 2005 to 2007, operating profit margins remained relatively stable, fluctuating between 13.40% and 14.47%. This stability was disrupted in 2008, when the operating profit margin plummeted to -9.45%, reflecting a substantial operating loss of 356.7 million USD. A marginal recovery occurred in 2009, with the margin rising to 0.63%, indicating a return to break-even operational levels.
- Recovery and Rapid Expansion (2010–2014)
- A consistent upward trajectory in profitability was observed starting in 2010, as margins climbed from 9.26% to 18.70% by 2013. This period culminated in a significant anomaly in 2014, where the operating profit margin spiked to a peak of 50.08%. This surge was driven by a dramatic increase in operating income to 2.437 billion USD, which grew at a rate far exceeding the growth in net sales for that period.
- Stabilization at Elevated Levels (2015–2022)
- Following the 2014 peak, margins corrected and stabilized within a higher range than seen in the first decade of the analysis. Between 2015 and 2022, operating profit margins fluctuated between a low of 24.89% and a high of 32.73%. While periodic volatility persisted—notably a dip to 25.82% in 2020 and a subsequent recovery to 32.40% in 2021—the company maintained a fundamentally different profitability profile, with margins consistently remaining above 24%.
The long-term trend indicates a successful structural shift in operational efficiency. The transition from a pre-2014 average margin of approximately 10% to a post-2014 average exceeding 25% demonstrates a significant improvement in the ability to convert net sales into operating profit.
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Comparison to Competitors
Constellation Brands Inc., operating profit margin, long-term trends, comparison to competitors
| Constellation Brands Inc. | Coca-Cola Co. | Mondelēz International Inc. | PepsiCo Inc. | Philip Morris International Inc. | |
|---|---|---|---|---|---|
| Feb 28, 2022 | 26.43% | 25.37% | 11.22% | 13.33% | 38.56% |
| Feb 28, 2021 | 32.40% | 26.67% | 16.20% | 14.04% | 41.32% |
| Feb 29, 2020 | 25.82% | 27.25% | 14.50% | 14.32% | 40.66% |
| Feb 28, 2019 | 29.72% | 27.06% | 14.86% | 15.32% | 35.33% |
| Feb 28, 2018 | 30.12% | 27.31% | 12.77% | 15.64% | 38.40% |
| Feb 28, 2017 | 32.73% | 21.18% | 13.54% | 16.54% | 40.01% |
| Feb 29, 2016 | 26.95% | 20.61% | 9.91% | 15.58% | 40.53% |
| Feb 28, 2015 | 24.89% | 19.70% | 30.02% | 13.25% | 39.65% |
| Feb 28, 2014 | 50.08% | 21.11% | 9.47% | 14.37% | 39.31% |
| Feb 28, 2013 | 18.70% | 21.83% | 11.25% | 14.61% | 43.29% |
| Feb 29, 2012 | 18.33% | 22.45% | 10.39% | 13.91% | 44.18% |
| Feb 28, 2011 | 15.08% | 21.82% | 12.25% | 14.48% | 42.90% |
| Feb 28, 2010 | 9.26% | 24.06% | 11.51% | 14.41% | 41.16% |
| Feb 28, 2009 | 0.63% | 26.56% | 13.68% | 18.61% | 40.10% |
| Feb 29, 2008 | -9.45% | 26.44% | 9.04% | 16.03% | 39.87% |
| Feb 28, 2007 | 13.40% | 25.13% | 11.63% | 18.16% | — |
| Feb 28, 2006 | 14.47% | 26.19% | 13.17% | 18.33% | — |
| Feb 28, 2005 | 13.89% | 26.34% | 13.93% | 18.19% | — |
Based on: 10-K (reporting date: 2022-02-28), 10-K (reporting date: 2021-02-28), 10-K (reporting date: 2020-02-29), 10-K (reporting date: 2019-02-28), 10-K (reporting date: 2018-02-28), 10-K (reporting date: 2017-02-28), 10-K (reporting date: 2016-02-29), 10-K (reporting date: 2015-02-28), 10-K (reporting date: 2014-02-28), 10-K (reporting date: 2013-02-28), 10-K (reporting date: 2012-02-29), 10-K (reporting date: 2011-02-28), 10-K (reporting date: 2010-02-28), 10-K (reporting date: 2009-02-28), 10-K (reporting date: 2008-02-29), 10-K (reporting date: 2007-02-28), 10-K (reporting date: 2006-02-28), 10-K (reporting date: 2005-02-28).