Copart Inc (CPRT)

Gross profit margin

		Jul 31, 2024	Jul 31, 2023	Jul 31, 2022	Jul 31, 2021	Jul 31, 2020
Gross profit	US$ in thousands	1,552,500	1,542,920	1,331,170	1,113,490	1,007,800
Revenue	US$ in thousands	4,256,810	3,956,090	3,481,860	2,689,660	2,205,580
Gross profit margin		36.47%	39.00%	38.23%	41.40%	45.69%

July 31, 2024 calculation

Gross profit margin = Gross profit ÷ Revenue
= $1,552,500K ÷ $4,256,810K
= 36.47%

The gross profit margin of Copart Inc has exhibited a decreasing trend over the past five years. The margin decreased from 45.69% in July 2020 to 36.47% in July 2024. This suggests that the company's profitability on sales has been declining during this period. A lower gross profit margin may indicate increased costs of goods sold relative to revenue, which could be due to various factors such as pricing pressures, higher production costs, or inefficiencies in operations. It is important for the company to closely monitor and address the factors contributing to this decline to improve its profitability and operational efficiency in the future.