Akamai Technologies Inc (AKAM)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 2,402,100 | 2,315,170 | 2,247,480 | 2,140,970 | 2,018,420 |
| Revenue | US$ in thousands | 4,022,890 | 3,826,240 | 3,631,300 | 3,409,920 | 3,151,090 |
| Gross profit margin | 59.71% | 60.51% | 61.89% | 62.79% | 64.05% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $2,402,100K ÷ $4,022,890K
= 59.71%
The trend in Akamai Technologies Inc's gross profit margin over the years has shown a gradual decline from 64.05% as of December 31, 2020, to 59.71% as of December 31, 2024. This indicates a reduction in the percentage of revenue retained after accounting for the direct costs of goods or services sold. The decreasing trend in gross profit margin could be attributed to various factors such as pricing pressures, increased competition, or rising production costs. It is essential for Akamai Technologies Inc to closely monitor and manage its cost structure to maintain a healthy level of profitability.
Peer comparison
Dec 31, 2024