Allegheny Technologies Incorporated (ATI)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 802,600 | 714,200 | 333,200 | 292,800 | 638,000 |
| Revenue | US$ in thousands | 4,050,200 | 3,594,600 | 2,646,300 | 2,858,800 | 4,079,500 |
| Gross profit margin | 19.82% | 19.87% | 12.59% | 10.24% | 15.64% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $802,600K ÷ $4,050,200K
= 19.82%
The gross profit margin for ATI Inc has exhibited fluctuations over the past five years. In 2023, the gross profit margin increased to 19.23% compared to 18.62% in 2022. This improvement indicates that the company was able to generate a higher percentage of revenue after accounting for the cost of goods sold in 2023. Furthermore, the gross profit margin has been on an overall upward trend since 2020 when it stood at 9.82%. This suggests that ATI Inc has been effectively managing its production costs and pricing strategies to enhance profitability over the years. However, the gross profit margin saw a significant dip in 2021 to 11.90%, which could be attributed to various factors such as changes in input costs or pricing strategies during that period. Overall, the increasing trend in the gross profit margin for ATI Inc is a positive indicator of the company's operational efficiency and financial performance.