Archer-Daniels-Midland Company (ADM)
Gross profit margin
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 5,778,000 | 5,481,000 | 5,926,000 | 6,413,000 | 6,834,000 | 7,535,000 | 7,536,000 | 7,753,000 | 7,570,000 | 7,458,000 | 6,973,000 | 6,336,000 | 5,987,000 | 5,689,000 | 5,405,000 | 5,050,000 | 4,453,000 | 4,270,000 | 4,306,000 | 4,170,000 |
| Revenue (ttm) | US$ in thousands | 85,530,000 | 87,018,000 | 88,776,000 | 91,718,000 | 93,943,000 | 97,188,000 | 100,176,000 | 102,270,000 | 101,848,000 | 98,707,000 | 94,364,000 | 90,006,000 | 85,249,000 | 80,137,000 | 74,923,000 | 68,278,000 | 64,355,000 | 62,706,000 | 64,306,000 | 64,322,000 |
| Gross profit margin | 6.76% | 6.30% | 6.68% | 6.99% | 7.27% | 7.75% | 7.52% | 7.58% | 7.43% | 7.56% | 7.39% | 7.04% | 7.02% | 7.10% | 7.21% | 7.40% | 6.92% | 6.81% | 6.70% | 6.48% |
December 31, 2024 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $5,778,000K ÷ $85,530,000K
= 6.76%
Archer-Daniels-Midland Company's gross profit margin has shown fluctuations over the past few years. The trend indicates a general increase in the gross profit margin from March 31, 2020, at 6.48% to a peak of 7.75% on September 30, 2023. However, there was a slight decline in the margin to 6.30% on September 30, 2024.
Overall, the company has been able to maintain a gross profit margin above 6%, which suggests a consistent ability to generate profits after accounting for the cost of goods sold. The profitability of the company's core operations appears to have improved over the period under consideration, indicating efficient cost management or potentially higher selling prices relative to the cost of goods.
Analyzing the gross profit margin trends can help stakeholders assess the company's pricing strategy, cost controls, and overall operational efficiency. It is important to continue monitoring this metric to evaluate the company's ability to maintain profitability and sustain its competitive position in the industry.
Peer comparison
Dec 31, 2024