Chewy Inc (CHWY)
Gross profit margin
| Jan 28, 2024 | Jan 29, 2023 | Jan 30, 2022 | Jan 31, 2021 | Feb 2, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 3,161,520 | 2,830,900 | 2,373,580 | 1,820,810 | 1,144,060 |
| Revenue | US$ in thousands | 11,144,400 | 10,096,500 | 8,890,770 | 7,146,260 | 4,846,740 |
| Gross profit margin | 28.37% | 28.04% | 26.70% | 25.48% | 23.60% |
January 28, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $3,161,520K ÷ $11,144,400K
= 28.37%
The gross profit margin of Chewy Inc has shown a consistent upward trend over the past five years. From February 2, 2020, to January 28, 2024, the gross profit margin has increased from 23.60% to 28.37%. This indicates that Chewy Inc has been able to improve its efficiency in generating profits from the sale of goods, which is a positive sign for the company's financial health.
The improving gross profit margin suggests that Chewy Inc has been able to control its production and distribution costs effectively, leading to a higher percentage of revenue retained as gross profit. This trend also indicates that Chewy Inc may have enhanced its pricing strategy, product mix, or operational efficiency to drive profitability.
Overall, the increasing gross profit margin of Chewy Inc reflects the company's ability to manage its cost of goods sold and generate more profit per dollar of revenue, which could potentially lead to stronger financial performance and shareholder value in the future.
Peer comparison
Jan 28, 2024