Hilton Grand Vacations Inc (HGV)
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 | 4,160,000 | 4,178,000 | 3,910,000 | 3,709,000 | 3,537,000 | 3,688,000 | 3,766,000 | 3,675,000 | 3,467,000 | 3,116,000 | 2,948,000 | 2,408,000 | 1,976,000 | 1,532,000 | 870,000 | 681,000 | 792,000 | 1,048,000 | 1,300,000 | 1,624,000 |
| Revenue (ttm) | US$ in thousands | 4,981,000 | 4,716,000 | 4,428,000 | 4,200,000 | 3,978,000 | 3,951,000 | 4,049,000 | 3,990,000 | 3,835,000 | 3,681,000 | 3,493,000 | 2,879,000 | 2,335,000 | 1,709,000 | 989,000 | 778,000 | 894,000 | 1,150,000 | 1,408,000 | 1,739,000 |
| Gross profit margin | 83.52% | 88.59% | 88.30% | 88.31% | 88.91% | 93.34% | 93.01% | 92.11% | 90.40% | 84.65% | 84.40% | 83.64% | 84.63% | 89.64% | 87.97% | 87.53% | 88.59% | 91.13% | 92.33% | 93.39% |
December 31, 2024 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $4,160,000K ÷ $4,981,000K
= 83.52%
The gross profit margin of Hilton Grand Vacations Inc has exhibited fluctuations over the past few years, as reflected in the data provided. The margin has generally been above 80%, indicating that the company is effectively managing its cost of goods sold relative to its revenue.
From March 31, 2020, when the gross profit margin was at a high of 93.39%, there was a gradual decline in the margin until December 2021, where it reached a low of 84.63%. This decline suggests potential challenges in managing the cost of goods sold during this period.
However, from March 31, 2022, there was a slight improvement in the gross profit margin, reaching 93.01% by June 30, 2023. This improvement demonstrates that Hilton Grand Vacations Inc may have implemented measures to enhance cost efficiencies and profitability.
Subsequently, the margin experienced some fluctuations but generally remained above 85% until December 31, 2024, when it dipped to 83.52%. This drop indicates a possible increase in the cost of goods sold relative to revenue, highlighting the need for the company to focus on cost management strategies to sustain or improve its profitability in the future.