Deluxe Corporation (DLX)
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 | 1,127,392 | 1,138,592 | 1,139,425 | 1,152,370 | 1,162,602 | 1,180,502 | 1,196,615 | 1,193,715 | 1,205,834 | 1,219,934 | 1,209,111 | 1,181,911 | 1,137,845 | 1,084,845 | 1,061,855 | 1,038,377 | 1,060,022 | 1,104,322 | 1,129,192 | 1,172,570 |
| Revenue (ttm) | US$ in thousands | 2,121,715 | 2,138,615 | 2,147,971 | 2,181,855 | 2,192,265 | 2,218,865 | 2,236,103 | 2,227,403 | 2,238,053 | 2,244,653 | 2,221,756 | 2,136,956 | 2,022,205 | 1,906,105 | 1,813,464 | 1,745,669 | 1,790,805 | 1,858,405 | 1,912,498 | 1,996,093 |
| Gross profit margin | 53.14% | 53.24% | 53.05% | 52.82% | 53.03% | 53.20% | 53.51% | 53.59% | 53.88% | 54.35% | 54.42% | 55.31% | 56.27% | 56.91% | 58.55% | 59.48% | 59.19% | 59.42% | 59.04% | 58.74% |
December 31, 2024 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $1,127,392K ÷ $2,121,715K
= 53.14%
The gross profit margin of Deluxe Corporation has displayed some fluctuations over the past five years, based on the provided data.
The margin started at a relatively high level of 58.74% in March 2020 and slightly increased to 59.04% by June 2020. It continued to rise to 59.42% in September 2020 before experiencing a slight dip to 59.19% in December 2020. The trend reversed in the following year, with the margin steadily increasing to reach its peak of 59.48% by March 2021.
However, the gross profit margin began to decline from that point onwards. By June 2021, it had decreased to 58.55%, and this downward trend persisted in the subsequent quarters. The margin saw sharper declines in the second half of 2021, dropping to 56.91% by September 2021 and further down to 56.27% by December 2021.
The declining trend continued into 2022, with the gross profit margin falling below 56% for the first time in several years. The margin reached its lowest point of 53.20% by September 2023 before showing a slight recovery to 53.24% in December 2024.
Overall, Deluxe Corporation's gross profit margin has shown a gradual decline over the period, with some fluctuations along the way. This trend suggests potential challenges in managing production costs and pricing strategies that may impact the company's profitability in the coming quarters.