Builders FirstSource Inc (BLDR)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 6,012,330 | 7,744,380 | 5,850,960 | 2,222,580 | 1,976,830 |
| Revenue | US$ in thousands | 17,096,400 | 22,698,900 | 19,890,500 | 8,550,750 | 7,271,130 |
| Gross profit margin | 35.17% | 34.12% | 29.42% | 25.99% | 27.19% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $6,012,330K ÷ $17,096,400K
= 35.17%
Builders Firstsource Inc's gross profit margin has shown a generally increasing trend over the last five years. The company's gross profit margin increased from 27.15% in 2019 to 35.17% in 2023. This improvement indicates that the company has been able to effectively control its cost of goods sold and/or increase its sales prices relative to its production costs.
The steady growth in gross profit margin suggests that Builders Firstsource Inc has been able to enhance its operational efficiency and profitability. It is important to note that a higher gross profit margin indicates that the company is generating more revenue from each dollar of sales after deducting the cost of goods sold. This can be a positive signal for investors and stakeholders, as it reflects the company's ability to effectively manage its production costs and generate higher profits.
Peer comparison
Dec 31, 2023