Alphabet Inc Class C (GOOG)

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	202,547,000	195,259,000	186,462,000	179,701,000	172,113,000	163,568,000	158,752,000	155,924,000	155,310,000	158,513,000	157,558,000	153,572,000	146,323,000	134,209,000	121,915,000	106,006,000	96,972,000	91,789,000	89,711,000	91,716,000
Revenue (ttm)	US$ in thousands	348,853,000	338,527,000	326,485,000	316,133,000	305,445,000	294,667,000	287,780,000	283,140,000	281,513,000	282,362,000	277,870,000	270,007,000	257,262,000	238,240,000	219,442,000	195,859,000	181,704,000	171,155,000	165,528,000	166,276,000
Gross profit margin		58.06%	57.68%	57.11%	56.84%	56.35%	55.51%	55.16%	55.07%	55.17%	56.14%	56.70%	56.88%	56.88%	56.33%	55.56%	54.12%	53.37%	53.63%	54.20%	55.16%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $202,547,000K ÷ $348,853,000K
= 58.06%

The gross profit margin of Alphabet Inc Class C has shown a generally increasing trend over the past few years, indicating an improvement in the company's ability to generate profits from its core business activities.

Starting at 55.16% as of March 31, 2020, the gross profit margin experienced minor fluctuations but remained relatively stable. From March 31, 2021, there was a noticeable uptrend, reaching a peak of 58.06% as of December 31, 2024. This upward trajectory suggests that Alphabet Inc has been effectively managing its cost of goods sold and increasing its revenues, resulting in a more efficient operation and higher profitability.

Overall, the consistent improvement in the gross profit margin reflects positively on Alphabet Inc's financial performance and management's ability to enhance the company's profitability over the period under consideration.