GATX Corporation (GATX)

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	1,528,500	1,069,400	1,044,500	930,700	817,500	749,600	722,600	678,300	670,000	667,100	670,000	698,700	689,200	602,800	604,200	596,200	599,900	651,700	697,500	748,900
Revenue (ttm)	US$ in thousands	1,585,500	1,540,700	1,495,400	1,451,900	1,410,900	1,364,900	1,325,800	1,295,300	1,273,000	1,271,300	1,263,800	1,268,200	1,257,400	1,241,300	1,232,200	1,215,600	1,209,200	1,204,800	1,199,200	1,196,200
Gross profit margin		96.40%	69.41%	69.85%	64.10%	57.94%	54.92%	54.50%	52.37%	52.63%	52.47%	53.01%	55.09%	54.81%	48.56%	49.03%	49.05%	49.61%	54.09%	58.16%	62.61%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $1,528,500K ÷ $1,585,500K
= 96.40%

The gross profit margin of GATX Corporation has experienced fluctuations over the past few years. It stood at 62.61% as of March 31, 2020, and gradually declined to 49.61% by December 31, 2020. This decline continued into the first half of 2021, with the margin hovering around 49%, reflecting potential challenges in maintaining profitability.

However, there was a notable improvement in the gross profit margin starting from December 31, 2021, when it increased to 54.81% and continued to rise over the subsequent periods. Notably, by December 31, 2024, the gross profit margin soared to 96.40%, indicating a significant enhancement in profitability.

Overall, while there were periods of decline in the gross profit margin, especially in the early part of the analyzed period, GATX Corporation managed to achieve a substantial improvement in profitability towards the later quarters, showcasing its ability to enhance operational efficiency and generate higher margins.