Garmin Ltd (GRMN)

Gross profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Gross profit	US$ in thousands	3,004,960	2,806,780	2,890,460	2,481,340	2,233,980
Revenue	US$ in thousands	5,254,470	4,851,100	4,937,230	4,191,200	3,740,940
Gross profit margin		57.19%	57.86%	58.54%	59.20%	59.72%

December 31, 2023 calculation

Gross profit margin = Gross profit ÷ Revenue
= $3,004,960K ÷ $5,254,470K
= 57.19%

Garmin Ltd's gross profit margin has shown a decreasing trend over the past five years. It decreased from 59.72% in 2019 to 57.19% in 2023. This decline indicates that the company's cost of goods sold has been increasing at a faster rate than its revenue, leading to lower profitability at the gross profit level. It is important for Garmin Ltd to closely monitor its cost structure and explore opportunities to improve efficiency in its production process to enhance its gross profit margin in the future.