Adtalem Global Education Inc (ATGE)

Gross profit margin

		Jun 30, 2024	Mar 31, 2024	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
Gross profit (ttm)	US$ in thousands	212,130	150,810	139,202	136,779	132,579	460,597	430,262	387,537	377,660	239,895	272,360	316,953	361,083	397,346	404,749	395,634	371,070	441,635	434,060	462,197
Revenue (ttm)	US$ in thousands	1,584,652	1,539,386	1,495,810	1,465,402	1,450,826	1,447,416	1,442,615	1,450,979	1,385,780	1,248,015	1,113,947	977,145	906,901	943,164	984,438	1,016,214	1,052,001	1,056,512	1,043,728	1,031,517
Gross profit margin		13.39%	9.80%	9.31%	9.33%	9.14%	31.82%	29.83%	26.71%	27.25%	19.22%	24.45%	32.44%	39.82%	42.13%	41.11%	38.93%	35.27%	41.80%	41.59%	44.81%

June 30, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $212,130K ÷ $1,584,652K
= 13.39%

The gross profit margin of Adtalem Global Education Inc has shown significant fluctuations over the past few quarters, ranging from a high of 44.81% in December 2019 to a low of 9.31% in December 2023. In recent quarters, there has been a downward trend in the gross profit margin, with the latest reported figure at 13.39% in June 2024.

The declining trend in the gross profit margin may indicate challenges in maintaining profitability or managing costs effectively. Factors such as changes in the cost of goods sold, pricing strategies, competition, or operational inefficiencies could be contributing to these fluctuations.

It's important for Adtalem Global Education Inc to closely monitor and analyze the components of its cost of goods sold and revenue generation to identify areas for improvement and take necessary actions to enhance the gross profit margin in order to sustain and grow profitability in the long term.