CF Industries Holdings Inc (CF)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 2,545,000 | 5,861,000 | 2,387,000 | 801,000 | 1,174,000 |
| Revenue | US$ in thousands | 6,631,000 | 11,186,000 | 6,538,000 | 4,124,000 | 4,590,000 |
| Gross profit margin | 38.38% | 52.40% | 36.51% | 19.42% | 25.58% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $2,545,000K ÷ $6,631,000K
= 38.38%
CF Industries Holdings Inc's gross profit margin has shown fluctuations over the past five years. In 2023, the gross profit margin decreased to 38.38% from 52.40% in 2022, indicating a decline in profitability. This decrease may be a cause for concern as it represents a significant drop in the company's ability to generate profits from its core operations.
Comparing to the previous years, the gross profit margin in 2023 is closer to the levels seen in 2021 (36.51%) and 2019 (25.58%), suggesting a return to lower levels of profitability. The significant increase in 2022 could have been an outlier or driven by specific factors that may not be sustainable.
It is essential for investors and stakeholders to closely monitor CF Industries Holdings Inc's gross profit margin trends in the future to assess the company's ability to manage costs, maintain pricing power, and generate profits effectively. Additional analysis of the company's cost structure and revenue streams may provide further insights into the factors influencing the gross profit margin.
Peer comparison
Dec 31, 2023