Baker Hughes Co (BKR)

Gross profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Gross profit	US$ in thousands	24,533,000	22,104,000	17,008,000	17,335,000	130,000
Revenue	US$ in thousands	27,631,000	25,330,000	20,453,000	20,203,000	20,088,000
Gross profit margin		88.79%	87.26%	83.16%	85.80%	0.65%

December 31, 2024 calculation

Gross profit margin = Gross profit ÷ Revenue
= $24,533,000K ÷ $27,631,000K
= 88.79%

Based on the data provided, the gross profit margin of Baker Hughes Co has shown significant fluctuations over the years. In December 2020, the gross profit margin was remarkably low at 0.65%. However, there was a substantial improvement in the following years, with the margin increasing to 85.80% by December 2021. This positive trend continued into 2022, where the margin stood at 83.16%, indicating continued efficiency in managing production costs.

In December 2023, the gross profit margin further improved to 87.26%, demonstrating the company's ability to generate more profit from its revenue streams. By December 2024, Baker Hughes Co achieved its highest gross profit margin of 88.79%, signaling strong performance in effectively controlling direct production expenses and maximizing profitability.

Overall, the data reflects a positive trajectory in the company's gross profit margin over the years, suggesting successful cost management strategies and enhanced operational efficiency within Baker Hughes Co. These improvements are essential indicators of the company's financial health and its ability to generate profits from its core business activities.