Applied Materials Inc (AMAT)

Gross profit margin

		Jan 28, 2024	Oct 29, 2023	Jul 30, 2023	Apr 30, 2023	Jan 29, 2023	Oct 30, 2022	Jul 31, 2022	May 1, 2022	Jan 30, 2022	Oct 31, 2021	Aug 1, 2021	May 2, 2021	Jan 31, 2021	Oct 25, 2020	Jul 26, 2020	Apr 26, 2020	Jan 26, 2020	Oct 27, 2019	Jul 28, 2019	Apr 28, 2019
Gross profit (ttm)	US$ in thousands	12,443,000	12,384,000	12,316,000	12,346,000	12,179,000	11,993,000	11,837,000	11,798,000	11,524,000	10,914,000	10,099,000	9,087,000	8,183,000	7,692,000	7,196,000	6,798,000	6,579,000	6,386,000	6,409,000	6,716,000
Revenue (ttm)	US$ in thousands	26,311,000	26,274,000	26,319,000	26,414,000	26,027,000	25,590,000	24,905,000	24,569,000	23,924,000	22,880,000	21,547,000	19,794,000	18,202,000	17,202,000	16,268,000	15,435,000	15,017,000	14,608,000	14,613,000	15,213,000
Gross profit margin		47.29%	47.13%	46.80%	46.74%	46.79%	46.87%	47.53%	48.02%	48.17%	47.70%	46.87%	45.91%	44.96%	44.72%	44.23%	44.04%	43.81%	43.72%	43.86%	44.15%

January 28, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $12,443,000K ÷ $26,311,000K
= 47.29%

The gross profit margin of Applied Materials Inc. has shown a relatively stable trend over the past eight quarters, ranging from 46.35% to 47.51%. The company has maintained its gross profit margin above 46%, indicating strong control over production costs and pricing strategies. However, there was a slight decrease in the gross profit margin from Q3 2022 to Q1 2024, with Q1 2024 recording the lowest margin at 46.98%. This may suggest potential challenges in managing manufacturing costs or facing pricing pressures in the industry during that period. Overall, Applied Materials Inc. has demonstrated consistent gross profit margins, reflecting efficient operations and effective cost management in its core business activities.