Allegro Microsystems Inc (ALGM)

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 23, 2022	Sep 23, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021
Gross profit (ttm)	US$ in thousands	364,896	417,509	491,350	574,529	604,370	613,136	585,655	546,079	502,593	461,164	431,674	407,460	384,863	358,123	317,361
Revenue (ttm)	US$ in thousands	737,693	810,951	933,063	1,043,668	1,070,478	1,067,931	1,030,581	972,710	905,391	843,434	799,845	768,055	741,851	710,474	653,311
Gross profit margin		49.46%	51.48%	52.66%	55.05%	56.46%	57.41%	56.83%	56.14%	55.51%	54.68%	53.97%	53.05%	51.88%	50.41%	48.58%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $364,896K ÷ $737,693K
= 49.46%

Allegro Microsystems Inc's gross profit margin has shown a general increasing trend from June 30, 2021, to June 30, 2023, peaking at 57.41% on September 30, 2023. This indicates that the company was able to effectively manage its production costs and maximize profitability during this period.

However, there was a slight decline in the gross profit margin in the subsequent quarters, dropping to 49.46% by December 31, 2023, and further decreasing to 49.46% by December 31, 2024. This decline may suggest potential challenges in cost management or pricing strategies that impacted the company's profitability during this period.

Overall, Allegro Microsystems Inc's gross profit margin performance highlights its ability to generate profits from its core business operations, but fluctuations in this metric should be closely monitored to ensure sustained profitability in the future.