Dayforce Inc. (DAY)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 646,500 | 473,200 | 382,300 | 341,300 | 368,200 |
| Revenue | US$ in thousands | 1,513,700 | 1,246,200 | 1,024,200 | 842,500 | 824,100 |
| Gross profit margin | 42.71% | 37.97% | 37.33% | 40.51% | 44.68% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $646,500K ÷ $1,513,700K
= 42.71%
Dayforce Inc.'s gross profit margin has shown some fluctuations over the past five years. It increased from 40.51% in 2020 to 44.68% in 2019, indicating an improvement in profitability. However, the margin decreased to 37.33% in 2021 before recovering to 37.97% in 2022 and further increasing to 42.71% in 2023.
This upward trend in the gross profit margin over the last two years suggests that Dayforce Inc. has been able to better control its production costs and/or increase the selling prices of its products/services. A higher gross profit margin indicates that the company is generating more revenue from its core business activities after accounting for the cost of goods sold.
It is crucial for Dayforce Inc. to continue monitoring and managing its costs effectively to sustain and potentially improve its gross profit margin in the future.
Peer comparison
Dec 31, 2023