Atmos Energy Corporation (ATO)

Gross profit margin

		Sep 30, 2024	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
Gross profit (ttm)	US$ in thousands	2,192,924	2,644,681	3,045,190	2,897,022	2,823,184	2,770,377	2,719,464	2,623,143	2,519,006	2,471,940	2,423,353	2,390,176	2,374,773	2,347,050	2,295,290	2,209,808	2,162,283	2,135,413	2,122,902	2,086,089
Revenue (ttm)	US$ in thousands	4,165,193	4,094,891	4,056,075	3,949,815	4,275,355	4,410,341	4,564,037	4,672,887	4,201,667	4,047,423	3,836,547	3,505,797	3,407,487	3,314,017	3,201,459	2,860,054	2,821,137	2,789,906	2,782,649	2,899,624
Gross profit margin		52.65%	64.58%	75.08%	73.35%	66.03%	62.82%	59.58%	56.14%	59.95%	61.07%	63.16%	68.18%	69.69%	70.82%	71.70%	77.26%	76.65%	76.54%	76.29%	71.94%

September 30, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $2,192,924K ÷ $4,165,193K
= 52.65%

Atmos Energy Corporation's gross profit margin has shown some fluctuations over the past 20 quarters, ranging from a low of 52.65% to a high of 77.26%. The gross profit margin measures the proportion of revenue that exceeds the cost of goods sold, indicating the efficiency of the company's production and pricing strategies.

The company experienced a decreasing trend in the gross profit margin from the fourth quarter of 2021 to the third quarter of 2023, declining from 68.18% to 59.58%. However, there was a significant improvement in the gross profit margin in the first and second quarters of 2024, reaching 75.08% and 64.58% respectively. This suggests that Atmos Energy Corporation may have implemented cost-saving measures or adjusted pricing strategies during this period.

Overall, while the gross profit margin has exhibited some variability, it is essential for the company to monitor and manage its cost structure and pricing strategies effectively to ensure sustained profitability and operational efficiency in the long term.