Analog Devices Inc (ADI)

Gross profit margin

		Feb 3, 2024	Oct 28, 2023	Jul 29, 2023	Apr 29, 2023	Jan 28, 2023	Oct 29, 2022	Jul 30, 2022	Apr 30, 2022	Jan 29, 2022	Oct 30, 2021	Jul 31, 2021	May 1, 2021	Jan 30, 2021	Oct 31, 2020	Aug 1, 2020	May 2, 2020	Feb 1, 2020	Nov 2, 2019	Aug 3, 2019	May 4, 2019
Gross profit (ttm)	US$ in thousands	7,226,830	7,877,230	8,373,330	8,454,850	8,254,820	7,532,480	6,511,480	5,689,520	4,881,640	4,525,010	4,426,270	4,177,668	3,887,702	3,690,474	3,609,585	3,634,818	3,822,234	4,013,752	4,117,101	4,179,920
Revenue (ttm)	US$ in thousands	11,300,180	12,053,800	12,591,670	12,643,210	12,366,050	11,809,200	10,683,340	9,383,500	8,122,390	7,048,520	6,456,420	6,153,710	5,809,360	5,554,460	5,469,200	5,493,200	5,702,740	5,940,280	6,144,430	6,236,970
Gross profit margin		63.95%	65.35%	66.50%	66.87%	66.75%	63.78%	60.95%	60.63%	60.10%	64.20%	68.56%	67.89%	66.92%	66.44%	66.00%	66.17%	67.02%	67.57%	67.01%	67.02%

February 3, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $7,226,830K ÷ $11,300,180K
= 63.95%

Analog Devices Inc.'s gross profit margin has shown some fluctuations over the past eight quarters. The company experienced a steady increase in gross profit margin from Q3 2022 to Q2 2023, reaching a peak of 65.69%. However, there was a slight decline in Q3 2023 to 65.23%, followed by a more noticeable decrease to 64.01% in Q4 2023. This downward trend continued into Q1 2024, with the gross profit margin further declining to 62.47%.

Overall, despite the recent decreases, Analog Devices Inc. has maintained relatively healthy gross profit margins above 60% in most quarters, indicating efficient cost management and pricing strategies. The company may need to closely monitor its cost structure and pricing decisions to sustain or improve its gross profit margin in the future.