The Ensign Group Inc (ENSG)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 654,390 | 515,258 | 510,515 | 463,962 | 406,200 |
| Revenue | US$ in thousands | 4,260,280 | 3,721,290 | 3,025,470 | 2,627,460 | 2,402,600 |
| Gross profit margin | 15.36% | 13.85% | 16.87% | 17.66% | 16.91% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $654,390K ÷ $4,260,280K
= 15.36%
The gross profit margin of The Ensign Group Inc has shown fluctuations over the past five years. From December 31, 2020 to December 31, 2021, there was a slight improvement in the gross profit margin from 16.91% to 17.66%. However, this trend was not sustained as the margin declined to 16.87% by December 31, 2022. Subsequently, there was a significant decrease in the gross profit margin to 13.85% by December 31, 2023. In the most recent period analyzed as of December 31, 2024, the margin slightly recovered to 15.36%.
The fluctuation in the gross profit margin indicates potential challenges in managing the cost of goods sold relative to the revenue generated by The Ensign Group Inc. It is important for the company to closely monitor its cost structure and pricing strategies to ensure sustainable profitability in the long term. The downward trend observed in 2023 highlights the need for strategic cost management and efficiency improvements to enhance overall financial performance.
Peer comparison
Dec 31, 2024