Smith AO Corporation (AOS)
Gross profit margin
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 1,484,800 | 1,463,600 | 1,412,400 | 1,362,100 | 1,329,600 | 1,341,600 | 1,376,900 | 1,363,900 | 1,310,900 | 1,274,400 | 1,231,200 | 1,157,300 | 1,108,200 | 1,079,100 | 1,066,200 | 1,127,400 | 1,180,700 | 1,222,700 | 1,244,500 | 1,276,800 |
| Revenue (ttm) | US$ in thousands | 3,840,800 | 3,786,500 | 3,723,200 | 3,730,700 | 3,744,500 | 3,805,900 | 3,847,700 | 3,742,800 | 3,534,600 | 3,375,000 | 3,219,800 | 3,022,300 | 2,889,000 | 2,805,400 | 2,772,100 | 2,872,700 | 2,984,200 | 3,045,800 | 3,072,800 | 3,141,800 |
| Gross profit margin | 38.66% | 38.65% | 37.94% | 36.51% | 35.51% | 35.25% | 35.79% | 36.44% | 37.09% | 37.76% | 38.24% | 38.29% | 38.36% | 38.47% | 38.46% | 39.25% | 39.57% | 40.14% | 40.50% | 40.64% |
December 31, 2023 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $1,484,800K ÷ $3,840,800K
= 38.66%
A.O. Smith Corp.'s gross profit margin has shown a generally positive trend over the past eight quarters, gradually increasing from 35.42% in Q4 2022 to 38.54% in Q4 2023. This indicates that the company has been able to effectively control its cost of goods sold and generate a higher margin of profit on its sales over time. The consistent improvement in gross profit margin reflects positively on the company's operational efficiency and pricing strategy, suggesting that it may be effectively managing its production costs and maintaining pricing power in the market. Overall, the increasing trend in gross profit margin indicates a healthier financial performance for A.O. Smith Corp.
Peer comparison
Dec 31, 2023