WW Grainger Inc (GWW)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 6,758,000 | 6,496,000 | 5,849,000 | 4,720,000 | 4,238,000 |
| Revenue | US$ in thousands | 17,168,000 | 16,478,000 | 15,228,000 | 13,022,000 | 11,797,000 |
| Gross profit margin | 39.36% | 39.42% | 38.41% | 36.25% | 35.92% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $6,758,000K ÷ $17,168,000K
= 39.36%
The gross profit margin of WW Grainger Inc has shown a consistent upward trend in recent years, reflecting an improvement in the company's ability to generate profits from its core operations. Starting at 35.92% on December 31, 2020, the margin increased to 36.25% by December 31, 2021, and continued to rise to 38.41% by December 31, 2022. The trend persisted as the margin reached 39.42% by December 31, 2023, and slightly declined to 39.36% by December 31, 2024. This indicates that the company has been effectively managing its cost of goods sold and enhancing its pricing strategies to achieve higher profitability on sales. Overall, the increasing gross profit margin suggests a favorable performance in the company's revenue generation and cost control efforts over the years.