Graphic Packaging Holding Company (GPK)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 1,173,000 | 902,000 | 385,000 | 1,100,200 | 1,092,600 |
| Revenue | US$ in thousands | 9,428,000 | 9,440,000 | 7,156,000 | 6,560,000 | 6,160,000 |
| Gross profit margin | 12.44% | 9.56% | 5.38% | 16.77% | 17.74% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $1,173,000K ÷ $9,428,000K
= 12.44%
The gross profit margin of Graphic Packaging Holding Co has shown fluctuations over the past five years. In 2023, the gross profit margin improved to 22.45% from 19.39% in 2022, indicating that the company was able to generate more gross profit relative to its revenue. This could be attributed to various factors such as cost management, pricing strategies, or operational efficiencies.
Comparing the 2023 margin to the historical trend, there has been a positive progression from the lowest point in 2021 where the gross profit margin was 14.97%. This suggests that the company has been able to enhance its profitability over the years. However, it is worth noting that the margin in 2023 is still below the levels seen in 2019 and 2020, which were 17.74% and 16.77% respectively.
Overall, the upward trend in the gross profit margin of Graphic Packaging Holding Co signals an improvement in its ability to generate profit from its core operations. This is a positive indication for investors and stakeholders as it reflects the company's financial health and efficiency in managing its costs.
Peer comparison
Dec 31, 2023