AAR Corp (AIR)
Gross profit margin
| May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 442,300 | 423,100 | 407,100 | 389,500 | 370,100 | 351,800 | 337,900 | 330,500 | 313,200 | 295,200 | 300,800 | 291,900 | 275,900 | 240,500 | 219,800 | 236,200 | 269,200 | 327,800 | 347,800 | 340,200 |
| Revenue (ttm) | US$ in thousands | 2,272,900 | 2,183,800 | 2,146,300 | 2,075,600 | 1,977,600 | 1,904,800 | 1,839,500 | 1,806,700 | 1,815,900 | 1,776,800 | 1,734,400 | 1,701,900 | 1,627,100 | 1,607,600 | 1,758,900 | 1,915,600 | 2,075,300 | 2,221,500 | 2,187,900 | 2,119,700 |
| Gross profit margin | 19.46% | 19.37% | 18.97% | 18.77% | 18.71% | 18.47% | 18.37% | 18.29% | 17.25% | 16.61% | 17.34% | 17.15% | 16.96% | 14.96% | 12.50% | 12.33% | 12.97% | 14.76% | 15.90% | 16.05% |
May 31, 2024 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $442,300K ÷ $2,272,900K
= 19.46%
The gross profit margin of AAR Corp has shown a generally positive trend over the past two years, with an average of around 18%. The ratio has shown consistent improvement from 15.90% in Nov 2019 to 19.46% in May 2024. This indicates that the company has been effectively controlling its cost of goods sold relative to its sales revenue, leading to a healthier margin on its core operations. However, there was a slight dip in the margin in the last quarter, dropping from 19.37% in Feb 2024 to 18.97% in Nov 2023. The company should continue to monitor and manage its cost structure to sustain and improve its gross profit margin in the future.
Peer comparison
May 31, 2024