DXC Technology Co (DXC)
Gross profit margin
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 450,000 | -1,039,000 | -1,115,000 | -1,158,000 | -1,186,000 | 1,109,000 | 1,198,000 | 1,132,000 | 1,143,000 | -579,000 | -908,000 | -1,310,000 | -1,655,000 | -4,331,000 | -4,092,000 | -6,409,000 | -6,025,000 | 1,655,000 | 5,649,000 | 12,080,000 |
| Revenue (ttm) | US$ in thousands | 13,667,000 | 13,872,000 | 14,039,000 | 14,169,000 | 14,430,000 | 14,847,000 | 15,370,000 | 15,831,000 | 16,265,000 | 16,642,000 | 16,841,000 | 17,368,000 | 17,729,000 | 18,159,000 | 18,892,000 | 19,189,000 | 19,577,000 | 20,042,000 | 20,199,000 | 20,361,000 |
| Gross profit margin | 3.29% | -7.49% | -7.94% | -8.17% | -8.22% | 7.47% | 7.79% | 7.15% | 7.03% | -3.48% | -5.39% | -7.54% | -9.33% | -23.85% | -21.66% | -33.40% | -30.78% | 8.26% | 27.97% | 59.33% |
March 31, 2024 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $450,000K ÷ $13,667,000K
= 3.29%
The gross profit margin of DXC Technology Co has shown significant variability over the past few quarters. From March 2020 to March 2021, the company experienced a steep decline in gross profit margin, with negative percentage figures indicating challenges in managing the cost of goods sold relative to revenue generation during this period.
However, there was a notable improvement in gross profit margin from December 2021 to March 2022, with positive margins indicating more effective cost control and potentially higher pricing power. This positive trend continued through December 2022, where the company achieved healthy gross profit margins.
In the recent quarters from September 2023 to March 2024, the gross profit margin has declined again, albeit remaining positive, indicating potential challenges in maintaining profitability levels. It is essential for DXC Technology Co to closely monitor its cost structure, pricing strategies, and operational efficiency to sustain or improve its gross profit margins in the future.
Peer comparison
Mar 31, 2024