Flex Ltd (FLEX)

Gross profit margin

		Mar 31, 2025	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
Gross profit (ttm)	US$ in thousands	2,159,000	2,107,000	2,155,000	2,280,000	2,396,000	2,441,000	2,382,000	2,317,000	2,265,000	2,214,000	2,122,000	1,996,000	1,932,000	1,936,000	1,924,000	1,854,000	1,686,553	1,543,180	1,494,657	1,402,657
Revenue (ttm)	US$ in thousands	25,813,000	25,584,000	26,131,000	27,057,000	28,079,000	29,387,000	30,040,000	30,335,000	30,346,000	29,720,000	28,583,000	27,046,000	26,041,000	25,456,000	25,557,000	25,313,000	24,124,330	23,342,820	23,084,210	23,187,260
Gross profit margin		8.36%	8.24%	8.25%	8.43%	8.53%	8.31%	7.93%	7.64%	7.46%	7.45%	7.42%	7.38%	7.42%	7.61%	7.53%	7.32%	6.99%	6.61%	6.47%	6.05%

March 31, 2025 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $2,159,000K ÷ $25,813,000K
= 8.36%

Flex Ltd has seen a gradual improvement in its gross profit margin over the analyzed period from June 30, 2020, to March 31, 2025. The company's gross profit margin started at 6.05% in June 2020 and has steadily increased to 8.36% by March 2025.

The increasing trend in the gross profit margin indicates that Flex Ltd has been effectively managing its production costs and maintaining pricing strategies to improve profitability. This improvement over time demonstrates the company's ability to enhance operational efficiency, optimize manufacturing processes, or potentially increase selling prices.

However, there were fluctuations in the margin during the period, with some slight decreases in the margins recorded in certain quarters. Overall, the general uptrend in the gross profit margin indicates positive performance for Flex Ltd in terms of its ability to generate profits from its core business operations.