Dream Finders Homes Inc (DFH)

Gross profit margin

		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
Gross profit (ttm)	US$ in thousands	1,492,722	774,283	753,857	736,773	691,177	651,846	627,074	620,196	569,894	482,278	386,253	313,578
Revenue (ttm)	US$ in thousands	4,028,420	3,917,380	3,806,969	3,748,589	3,710,059	3,599,898	3,447,693	3,342,339	3,094,959	2,672,274	2,244,416	1,923,910
Gross profit margin		37.05%	19.77%	19.80%	19.65%	18.63%	18.11%	18.19%	18.56%	18.41%	18.05%	17.21%	16.30%

September 30, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $1,492,722K ÷ $4,028,420K
= 37.05%

The gross profit margin of Dream Finders Homes Inc has shown a consistent improvement over the past quarters, indicating a positive trend in the company's profitability from operations. The margin increased from 16.30% in December 2021 to 37.05% in September 2024, reflecting the company's ability to effectively control its production and operational costs relative to its revenue.

The significant increase in gross profit margin signifies that Dream Finders Homes Inc has been able to enhance its efficiency in managing production costs and generating more profit per dollar of sales. This improvement could be attributed to various factors such as better cost management, pricing strategies, economies of scale, or operational efficiencies.

Overall, the upward trend in gross profit margin is a positive indicator of Dream Finders Homes Inc's financial performance and sustainability in the long run. It suggests that the company is effectively translating its sales into profits and could potentially lead to improved overall profitability and shareholder value.