FMC Corporation (FMC)

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	1,653,900	1,564,900	1,559,700	1,601,400	1,831,000	2,080,900	2,177,200	2,335,400	2,326,800	2,255,900	2,291,200	2,232,000	2,171,700	2,058,400	2,012,000	2,002,900	2,052,000	2,106,600	2,072,600	2,100,400
Revenue (ttm)	US$ in thousands	4,246,100	4,167,900	4,084,400	4,060,500	4,486,800	4,962,700	5,358,000	5,795,800	5,802,300	5,593,900	5,410,700	5,200,400	5,045,200	4,783,800	4,674,400	4,587,700	4,642,100	4,687,200	4,616,900	4,667,700
Gross profit margin		38.95%	37.55%	38.19%	39.44%	40.81%	41.93%	40.63%	40.29%	40.10%	40.33%	42.35%	42.92%	43.04%	43.03%	43.04%	43.66%	44.20%	44.94%	44.89%	45.00%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $1,653,900K ÷ $4,246,100K
= 38.95%

The gross profit margin of FMC Corporation has exhibited a gradual decline over the past few years based on the provided data. It started at 45.00% on March 31, 2020, and decreased to 38.95% by December 31, 2024. This downward trend suggests that the company's cost of goods sold relative to its revenue has been increasing, resulting in a lower percentage of revenue retained as gross profit.

The decline in gross profit margin may indicate challenges such as rising production costs, pricing pressure, or inefficient operations impacting the company's profitability. It is crucial for FMC Corporation to closely monitor and manage its cost structure to improve its gross profit margin and overall financial performance.

Further analysis and investigation into the factors driving the decrease in the gross profit margin would be necessary to develop strategies for enhancing profitability and sustaining long-term financial health.