Fabrinet (FN)
Gross profit margin
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 413,349 | 356,118 | 336,273 | 278,594 | 221,363 |
| Revenue | US$ in thousands | 3,419,330 | 2,882,970 | 2,645,240 | 2,262,220 | 1,879,350 |
| Gross profit margin | 12.09% | 12.35% | 12.71% | 12.32% | 11.78% |
June 30, 2025 calculation
Gross profit margin = Gross profit ÷ Revenue
= $413,349K ÷ $3,419,330K
= 12.09%
The gross profit margin of Fabrinet demonstrates a gradual upward trend over the analyzed period from June 30, 2021, to June 30, 2024, followed by a slight decline in 2025. Specifically, the margin increased from 11.78% in 2021 to 12.32% in 2022, indicating an improvement in the company's ability to generate profit from its core operations relative to sales. This upward trajectory continued into 2023, reaching 12.71%, which suggests further enhancement in operational efficiency or favorable product mix or pricing strategies.
However, the gross profit margin experienced a modest decrease in 2024, declining to 12.35%. Despite this slight reduction, the margin remained significantly higher than the level observed in 2021, reflecting sustained profitability at the gross level. In 2025, the margin further decreased to 12.09%, approaching the levels seen in the earlier period, implying a potential stabilization or slight erosion of gross profitability.
Overall, the data indicates that Fabrinet has achieved incremental improvements in gross profit margin in the initial years, likely driven by operational efficiencies, cost management, or favorable sales trends. Nonetheless, the slight decline observed after 2023 warrants consideration of underlying factors such as rising costs, pricing pressures, or changes in sales composition, which may be impacting profitability margins.
Peer comparison
Jun 30, 2025