Certara Inc (CERT)

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	204,413	184,145	176,214	190,130	201,201	214,222	216,410	209,750	203,067	194,273	187,560	182,548	174,488	158,167	150,279	148,201	142,765	144,933	142,239	132,885
Revenue (ttm)	US$ in thousands	385,148	372,797	363,553	360,690	354,337	352,960	352,084	344,394	335,644	324,357	313,601	300,937	286,104	275,399	261,772	252,799	243,530	232,746	225,915	215,376
Gross profit margin		53.07%	49.40%	48.47%	52.71%	56.78%	60.69%	61.47%	60.90%	60.50%	59.89%	59.81%	60.66%	60.99%	57.43%	57.41%	58.62%	58.62%	62.27%	62.96%	61.70%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $204,413K ÷ $385,148K
= 53.07%

Certara Inc's gross profit margin has shown some fluctuations over the period from March 31, 2020, to December 31, 2024. The margin started at a high of 61.70% in March 2020 and increased to 62.96% by June 2020. It then remained relatively stable around the 62% range until December 31, 2020, when it dropped to 58.62%.

The gross profit margin stayed consistent at 58.62% for the following quarter but then started to decline gradually, reaching a low of 48.47% by June 30, 2024. This significant decrease in the margin may indicate challenges in maintaining profitability or increasing costs relative to revenue during that period.

However, there was a partial recovery in the subsequent quarters, with the margin improving to 53.07% by December 31, 2024. While the margin fluctuated during the period under review, the overall trend suggests that Certara Inc may have experienced some variance in its cost of goods sold or pricing strategies affecting its gross profit margin over time. It would be important to further investigate the factors contributing to these fluctuations to assess the company's operational efficiency and profitability.