Operating Profit Margin
since 2005
Calculation
Procter & Gamble Co., operating profit margin, long-term trends, calculation
| Operating profit margin | = | 100 | × | Operating income1 | ÷ | Net sales1 | |
|---|---|---|---|---|---|---|---|
| Jun 30, 2026 | 22.69% | = | 100 | × | 19,748) | ÷ | 87,032) |
| Jun 30, 2025 | 24.26% | = | 100 | × | 20,451) | ÷ | 84,284) |
| Jun 30, 2024 | 22.07% | = | 100 | × | 18,545) | ÷ | 84,039) |
| Jun 30, 2023 | 22.11% | = | 100 | × | 18,134) | ÷ | 82,006) |
| Jun 30, 2022 | 22.21% | = | 100 | × | 17,813) | ÷ | 80,187) |
| Jun 30, 2021 | 23.63% | = | 100 | × | 17,986) | ÷ | 76,118) |
| Jun 30, 2020 | 22.14% | = | 100 | × | 15,706) | ÷ | 70,950) |
| Jun 30, 2019 | 8.11% | = | 100 | × | 5,487) | ÷ | 67,684) |
| Jun 30, 2018 | 20.52% | = | 100 | × | 13,711) | ÷ | 66,832) |
| Jun 30, 2017 | 21.45% | = | 100 | × | 13,955) | ÷ | 65,058) |
| Jun 30, 2016 | 20.58% | = | 100 | × | 13,441) | ÷ | 65,299) |
| Jun 30, 2015 | 15.46% | = | 100 | × | 11,790) | ÷ | 76,279) |
| Jun 30, 2014 | 18.41% | = | 100 | × | 15,288) | ÷ | 83,062) |
| Jun 30, 2013 | 17.21% | = | 100 | × | 14,481) | ÷ | 84,167) |
| Jun 30, 2012 | 15.88% | = | 100 | × | 13,292) | ÷ | 83,680) |
| Jun 30, 2011 | 19.16% | = | 100 | × | 15,818) | ÷ | 82,559) |
| Jun 30, 2010 | 20.30% | = | 100 | × | 16,021) | ÷ | 78,938) |
| Jun 30, 2009 | 20.40% | = | 100 | × | 16,123) | ÷ | 79,029) |
| Jun 30, 2008 | 20.46% | = | 100 | × | 17,083) | ÷ | 83,503) |
| Jun 30, 2007 | 20.20% | = | 100 | × | 15,450) | ÷ | 76,476) |
| Jun 30, 2006 | 19.42% | = | 100 | × | 13,249) | ÷ | 68,222) |
| Jun 30, 2005 | 19.26% | = | 100 | × | 10,927) | ÷ | 56,741) |
Based on: 10-K (reporting date: 2026-06-30), 10-K (reporting date: 2025-06-30), 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-30), 10-K (reporting date: 2017-06-30), 10-K (reporting date: 2016-06-30), 10-K (reporting date: 2015-06-30), 10-K (reporting date: 2014-06-30), 10-K (reporting date: 2013-06-30), 10-K (reporting date: 2012-06-30), 10-K (reporting date: 2011-06-30), 10-K (reporting date: 2010-06-30), 10-K (reporting date: 2009-06-30), 10-K (reporting date: 2008-06-30), 10-K (reporting date: 2007-06-30), 10-K (reporting date: 2006-06-30), 10-K (reporting date: 2005-06-30).
1 US$ in millions
The operating profit margin demonstrates a long-term trend of expansion and resilience, despite periods of significant volatility. Over the observed period from 2005 to 2026, the organization transitioned from a stable margin regime of approximately 19-20% to a higher plateau exceeding 22%.
- Revenue and Operating Income Correlation
- Net sales exhibited an initial growth phase from 2005 to 2013, peaking at 84,167 million USD. This was followed by a strategic contraction in sales, reaching a low of 65,058 million USD in 2017. Despite this reduction in top-line revenue, operating income showed a recovery and subsequent growth trend starting in 2020, suggesting an improvement in operational efficiency and a shift toward more profitable revenue streams.
- Margin Stability and Mid-Term Volatility
- Between 2005 and 2011, operating profit margins remained consistent, fluctuating narrowly between 19.16% and 20.46%. A period of compression occurred between 2012 and 2015, with margins dipping to a low of 15.46% in 2015. This contraction period was followed by a recovery phase starting in 2016, during which margins returned to and exceeded the 20% threshold.
- Anomalous Contraction and Recent Expansion
- A severe outlier is observed in 2019, where the operating profit margin collapsed to 8.11%, coinciding with a sharp drop in operating income to 5,487 million USD. Following this event, a rapid and sustained recovery occurred. From 2020 through the 2026 projections, the operating profit margin reached new historical highs, peaking at 24.26% in 2025, reflecting a significant enhancement in the capacity to convert sales into operating profit.
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