Amazon.com Inc (AMZN)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 229,859,000 | 183,837,000 | 139,192,000 | 126,928,000 | 102,560,000 |
| Revenue | US$ in thousands | 637,551,000 | 571,668,000 | 511,276,000 | 467,958,000 | 384,452,000 |
| Gross profit margin | 36.05% | 32.16% | 27.22% | 27.12% | 26.68% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $229,859,000K ÷ $637,551,000K
= 36.05%
The gross profit margin of Amazon.com Inc has shown a positive trend over the years, steadily increasing from 26.68% as of December 31, 2020, to 36.05% as of December 31, 2024. This indicates the company's ability to efficiently manage its production costs and generate more profit from its sales. The significant improvement in the gross profit margin from 2020 to 2024 suggests that Amazon has been able to enhance its pricing strategies, control its cost of goods sold effectively, or increase the proportion of higher-margin products in its sales mix. Overall, the upward trajectory in the gross profit margin reflects Amazon's strong profitability and operational efficiency during the period under review.
Peer comparison
Dec 31, 2024