PC Connection Inc (CNXN)
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 | 519,794 | 519,795 | 516,277 | 507,512 | 511,736 | 506,305 | 511,043 | 520,167 | 526,177 | 528,868 | 512,939 | 492,365 | 464,579 | 446,403 | 433,536 | 406,209 | 418,807 | 426,061 | 437,094 | 465,081 |
| Revenue (ttm) | US$ in thousands | 2,806,655 | 2,795,924 | 2,762,593 | 2,759,661 | 2,850,161 | 2,886,154 | 2,968,760 | 3,063,722 | 3,124,985 | 3,192,747 | 3,168,423 | 3,044,075 | 2,892,633 | 2,768,107 | 2,669,491 | 2,515,332 | 2,590,290 | 2,631,231 | 2,707,889 | 2,898,963 |
| Gross profit margin | 18.52% | 18.59% | 18.69% | 18.39% | 17.95% | 17.54% | 17.21% | 16.98% | 16.84% | 16.56% | 16.19% | 16.17% | 16.06% | 16.13% | 16.24% | 16.15% | 16.17% | 16.19% | 16.14% | 16.04% |
December 31, 2024 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $519,794K ÷ $2,806,655K
= 18.52%
The gross profit margin of PC Connection Inc has shown a generally increasing trend over the past few years, starting at 16.04% in March 2020 and gradually improving to 18.52% by December 2024. This indicates that the company has been able to effectively manage its production costs and maintain a higher percentage of revenue as gross profit.
The steady increase in gross profit margin suggests that PC Connection Inc has been able to enhance its pricing strategies, negotiate better deals with suppliers, or improve operational efficiency. This trend is generally positive as a higher gross profit margin implies that the company is generating more profit from its core business activities.
However, there was a slight decrease in the gross profit margin from September 2024 to December 2024, which could be due to various factors such as changes in pricing, increases in production costs, or shifts in product mix. It would be important for the company to closely monitor these changes and take appropriate actions to maintain or improve its gross profit margin in the future.
Peer comparison
Dec 31, 2024