Hyatt Hotels Corporation (H)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 6,884,000 | 5,700,000 | 5,228,000 | 2,850,000 | 1,426,000 |
| Revenue | US$ in thousands | 7,908,000 | 6,541,000 | 5,995,000 | 3,290,000 | 1,924,000 |
| Gross profit margin | 87.05% | 87.14% | 87.21% | 86.63% | 74.12% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $6,884,000K ÷ $7,908,000K
= 87.05%
Based on the data provided, Hyatt Hotels Corporation has demonstrated a consistently strong gross profit margin over the years, reflecting the company's ability to effectively manage its cost of goods sold relative to its revenue.
In December 31, 2020, the gross profit margin stood at 74.12%, indicating that for every dollar of revenue generated, the company retained $0.7412 as gross profit after accounting for the direct costs associated with producing goods and services.
Moving forward, the gross profit margin saw a substantial improvement to 86.63% by December 31, 2021, signaling a significant increase in profitability efficiency. This positive trend continued in the subsequent years, with the margin reaching 87.21% in 2022, 87.14% in 2023, and 87.05% in 2024.
The consistently high gross profit margin indicates that Hyatt Hotels Corporation has been successful in maintaining a healthy balance between revenue and cost of goods sold, which is crucial for sustainable business operations and profitability. This strong performance suggests effective cost management strategies and pricing power within the company's industry, contributing to its overall financial health and stability.
Peer comparison
Dec 31, 2024