Aptiv PLC (APTV)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 1,067,000 | 858,000 | 581,000 | 562,000 | 1,940,000 |
| Revenue | US$ in thousands | 19,713,000 | 20,051,000 | 17,489,000 | 15,618,000 | 13,066,000 |
| Gross profit margin | 5.41% | 4.28% | 3.32% | 3.60% | 14.85% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $1,067,000K ÷ $19,713,000K
= 5.41%
Based on the provided data, the gross profit margin of Aptiv PLC has experienced fluctuations over the years. In December 31, 2020, the gross profit margin stood at 14.85%, indicating a relatively healthy level of profitability from its core operations. However, there was a significant decline in the gross profit margin to 3.60% by the end of 2021, possibly signaling increased costs or pricing pressures.
The trend continued with a slight decrease to 3.32% in December 31, 2022, which may raise concerns about the company's ability to generate sufficient gross profit relative to its revenue. However, there was a slight improvement in the gross profit margin to 4.28% by December 31, 2023, suggesting some efforts to address the decline in profitability.
By the end of December 31, 2024, the gross profit margin of Aptiv PLC further improved to 5.41%, indicating a positive trajectory in recovering profitability. It is essential for the company to continue monitoring and managing its cost structure, pricing strategies, and operational efficiency to sustain and enhance its gross profit margin in the future.
Overall, the analysis of the gross profit margin highlights the importance of closely monitoring financial performance metrics to assess the company's ability to generate profits from its core business activities.
Peer comparison
Dec 31, 2024