Operating Profit Margin Calculator

Profitability
Updated Apr 2026 • Has calculator

The percentage of revenue remaining after all operating costs — before interest and taxes.

Calculate Operating Margin

Operating Margin Formula

Operating Margin = (Operating Income ÷ Revenue) × 100

Revenue minus operating expenses (before interest and taxes), in millions of USD

Total annual revenue in millions of USD

Operating Margin

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Not investment advice.

What is Operating Margin?

Operating margin (also called operating profit margin) divides operating income (EBIT) by total revenue, expressing as a percentage how much of each revenue dollar survives after paying for cost of goods sold, selling, general and administrative expenses, and depreciation — but before interest and taxes. It isolates operational efficiency independently of capital structure and tax policy, making it useful for comparing companies and tracking improvement over time. High-margin businesses often have strong pricing power or scalable cost structures.

Worked Example

Worked example — Apple Inc. (AAPL)

FY2024

Step 1  Operating income (EBIT) FY2024: $123,216M
Step 2  Total revenue FY2024: $391,035M
Step 3  Operating Margin = $123,216M ÷ $391,035M × 100 = 31.51%
Step 4  → Apple keeps $0.32 in operating profit from every $1.00 of sales

Source: Apple 10-K FY2024 (2024-11-01)

How to Interpret Operating Margin

< 5
Low — thin operating margins, competitive or commodity sector
5 – 15
Average — typical for most industries
15 – 30
Strong — pricing power or scalable cost structure
> 30
Exceptional — dominant franchise or software economics

Operating margin of Nordic companies we track

Latest reported quarter, calculated from each company’s own report. Open a company for its charts and full history.

Operating margin by company, latest quarter
CompanyQuarterOperating marginCalculator
Elisa Q2 2026 21.4% Use in calculator
Fortum Q2 2026 8.0% Use in calculator
Harvia Q2 2026 15.9% Use in calculator
Kesko Q2 2026 5.7% Use in calculator
KONE Q2 2026 11.0% Use in calculator
Konecranes Q2 2026 11.7% Use in calculator
Marimekko Q2 2026 10.7% Use in calculator
Neste Q2 2026 15.3% Use in calculator
Nokia Q2 2026 −1.0% Use in calculator
Nokian Tyres Q2 2026 9.2% Use in calculator
Orion Q2 2026 33.9% Use in calculator
Puuilo Q2 2026 (fiscal) 21.6% Use in calculator
Qt Group Q2 2026 9.9% Use in calculator
UPM Q2 2026 8.8% Use in calculator
Vaisala Q2 2026 13.3% Use in calculator
Valmet Q2 2026 9.7% Use in calculator
Wärtsilä Q2 2026 13.4% Use in calculator

📚 Profitability Metrics — Complete the path

  1. Gross Margin
  2. Operating Margin
  3. EBITDA Margin
  4. Net Margin
  5. ROE