Applied Industrial Technologies (AIT)
Gross profit margin
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 1,383,160 | 1,336,650 | 1,286,960 | 1,106,920 | 935,524 |
| Revenue | US$ in thousands | 4,563,420 | 4,479,410 | 4,412,790 | 3,810,680 | 3,235,920 |
| Gross profit margin | 30.31% | 29.84% | 29.16% | 29.05% | 28.91% |
June 30, 2025 calculation
Gross profit margin = Gross profit ÷ Revenue
= $1,383,160K ÷ $4,563,420K
= 30.31%
The gross profit margin of Applied Industrial Technologies exhibits a consistent upward trend over the period from June 30, 2021, to June 30, 2025. Specifically, the gross profit margin increased from 28.91% in 2021 to 29.05% in 2022, marking a modest rise of 0.14 percentage points. This upward movement continues into 2023, reaching 29.16%, representing a further increase of 0.11 percentage points compared to the previous year. The margin then demonstrates a more pronounced improvement in 2024, rising to 29.84%, which is a 0.68 percentage point increase from 2023. The trend persists into 2025, with the gross profit margin reaching 30.31%, an increase of 0.47 percentage points over the previous year.
The gradual and consistent increase in gross profit margin over the analyzed period suggests an improvement in the company's ability to manage its cost of goods sold relative to net sales. This can indicate enhanced pricing strategies, improved operational efficiencies, or a favorable shift in the product mix toward higher-margin items. Overall, the data reflects a positive trajectory in gross profitability, signifying potential strengthening of core business margins over time.