Black Hills Corporation (BKH)

Gross profit margin

Dec 31, 2024 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
Gross profit (ttm) US$ in thousands 1,786,300 1,848,820 1,923,577 1,999,419 2,259,700 2,459,251 2,515,076 2,577,490 2,480,583 2,254,592 2,173,476 2,073,248 1,884,784 2,140,383 2,036,358 1,991,463 1,895,985 1,574,460 1,625,681 1,633,894
Revenue (ttm) US$ in thousands 2,127,700 2,122,332 2,127,832 2,136,532 2,331,332 2,531,039 2,586,551 2,649,446 2,551,816 2,322,885 2,240,863 2,139,240 1,949,102 1,872,981 1,838,981 1,793,323 1,696,941 1,688,208 1,667,166 1,674,140
Gross profit margin 83.95% 87.11% 90.40% 93.58% 96.93% 97.16% 97.24% 97.28% 97.21% 97.06% 96.99% 96.92% 96.70% 114.28% 110.73% 111.05% 111.73% 93.26% 97.51% 97.60%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $1,786,300K ÷ $2,127,700K
= 83.95%

The gross profit margin of Black Hills Corporation has exhibited some fluctuations over the reporting periods provided. Initially starting at a high of 97.60% on March 31, 2020, the margin remained relatively stable above 90% until December 31, 2020, where it significantly increased to 111.73%. This sudden increase could indicate improved efficiency in production or cost management strategies during that period.

Subsequently, the gross profit margin stayed elevated above 110% until September 30, 2021, reaching a peak of 114.28%. However, from December 31, 2021, the margin started to decline gradually. By March 31, 2024, it had fallen to 93.58%, marking a noticeable decrease from the previous highs.

The decreasing trend in the gross profit margin from December 31, 2021, to December 31, 2024, suggests potential challenges in maintaining profitability, potentially due to rising costs or pricing pressures. Overall, the trend indicates that while the company initially experienced robust profitability, there has been a subsequent decline in the margin over the latter reporting periods.