Alamo Group Inc (ALG)

Gross profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Gross profit	US$ in thousands	453,644	376,518	334,514	293,730	273,491
Revenue	US$ in thousands	1,689,650	1,513,620	1,334,220	1,163,470	1,119,140
Gross profit margin		26.85%	24.88%	25.07%	25.25%	24.44%

December 31, 2023 calculation

Gross profit margin = Gross profit ÷ Revenue
= $453,644K ÷ $1,689,650K
= 26.85%

The gross profit margin of Alamo Group Inc. has shown a generally positive trend over the past five years, increasing from 24.41% in 2019 to 26.85% in 2023. This indicates that the company has been able to effectively manage its production costs and generate higher profits from its sales. The consistent improvement in gross profit margin suggests efficient cost control measures and possibly effective pricing strategies. Overall, the increasing trend in gross profit margin reflects positively on the company's operational efficiency and profitability.

Peer comparison

Dec 31, 2023

Company name

Symbol

Gross profit margin

Alamo Group Inc

ALG

26.85%