Black Hills Corporation (BKH)

Gross profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Gross profit	US$ in thousands	2,259,700	2,480,580	1,884,780	1,636,480	1,678,170
Revenue	US$ in thousands	2,331,300	2,551,800	1,949,100	1,696,940	1,734,900
Gross profit margin		96.93%	97.21%	96.70%	96.44%	96.73%

December 31, 2023 calculation

Gross profit margin = Gross profit ÷ Revenue
= $2,259,700K ÷ $2,331,300K
= 96.93%

The gross profit margin of Black Hills Corporation has shown fluctuations over the past five years. In 2023, the gross profit margin stood at 57.84%, representing a decrease from the previous year. This decline may indicate factors such as changes in the cost of goods sold or pricing strategies impacting the company's profitability at the gross level. Comparatively, in 2021, the gross profit margin was at its peak of 61.93%, highlighting strong operational efficiency and potentially favorable cost management during that period. The trend suggests that Black Hills Corporation may have experienced variations in its ability to generate profits from its core business activities over the years, pointing to the need for further examination of the underlying factors influencing these fluctuations.