Diodes Incorporated (DIOD)

Gross profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Gross profit	US$ in thousands	435,862	658,182	827,237	670,360	431,121
Revenue	US$ in thousands	1,311,120	1,661,740	2,000,580	1,805,160	1,229,220
Gross profit margin		33.24%	39.61%	41.35%	37.14%	35.07%

December 31, 2024 calculation

Gross profit margin = Gross profit ÷ Revenue
= $435,862K ÷ $1,311,120K
= 33.24%

Diodes Incorporated's gross profit margin has exhibited fluctuations over the past five years. The margin increased from 35.07% as of December 31, 2020, to 41.35% by December 31, 2022, indicating an improvement in the company's ability to generate profits from its sales. However, there was a slight decline in the margin to 39.61% by December 31, 2023, followed by a more significant decrease to 33.24% by December 31, 2024.

These fluctuations suggest that there may have been changes in the company's cost of goods sold, sales prices, or a combination of both factors. It is important for investors and stakeholders to closely monitor these changes in the gross profit margin as they can provide insights into the company's operational efficiency and pricing strategies. Additionally, a declining gross profit margin may raise concerns about the company's ability to maintain profitability amidst increasing costs or competitive pressures.