CMS Energy Corporation (CMS)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 6,412,000 | 7,239,000 | 6,316,000 | 5,856,000 | 5,954,000 |
| Revenue | US$ in thousands | 7,462,000 | 8,596,000 | 7,329,000 | 6,418,000 | 6,624,000 |
| Gross profit margin | 85.93% | 84.21% | 86.18% | 91.24% | 89.89% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $6,412,000K ÷ $7,462,000K
= 85.93%
The gross profit margin for CMS Energy Corporation has exhibited some fluctuations over the past five years, as evidenced by the figures in the table. In 2023, the gross profit margin stood at 60.96%, a marked increase from the prior year's margin of 51.55%. This improvement suggests that the company was able to enhance its efficiency in generating revenue after accounting for the cost of goods sold.
Comparing the current gross profit margin to that of 2021 and 2020 reveals a mixed trend. While the margin was higher in 2023 than in 2021 (58.11%), it was lower than in 2020 (62.46%). This indicates some variability in the company's ability to control its production costs and maximize its profitability during this period.
Furthermore, when contrasted with the gross profit margin in 2019 (58.61%), the 2023 margin shows a slight increase. This suggests that the company has made some progress in optimizing its production processes and managing its cost structure since then.
Overall, the upward trajectory of CMS Energy Corporation's gross profit margin in 2023 compared to the previous year implies a positive trend in the company's operational efficiency and ability to generate profits from its core business activities.
Peer comparison
Dec 31, 2023