International Business Machines (IBM)
Gross profit margin
| Dec 31, 2024 | Sep 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 36,868,000 | 34,452,000 | 34,533,000 | 34,300,000 | 33,665,000 | 33,072,000 | 32,861,000 | 32,687,000 | 32,556,000 | 32,232,000 | 31,794,000 | 31,486,000 | 27,798,000 | 29,122,000 | 29,970,000 | 30,865,000 | 31,197,000 | 31,103,000 | 31,413,000 | 31,534,000 |
| Revenue (ttm) | US$ in thousands | 64,365,000 | 61,563,000 | 62,070,000 | 61,860,000 | 61,169,000 | 60,524,000 | 60,584,000 | 60,529,000 | 60,533,000 | 59,677,000 | 58,360,000 | 57,350,000 | 42,582,000 | 46,891,000 | 50,796,000 | 55,180,000 | 55,598,000 | 56,066,000 | 57,104,000 | 57,715,000 |
| Gross profit margin | 57.28% | 55.96% | 55.64% | 55.45% | 55.04% | 54.64% | 54.24% | 54.00% | 53.78% | 54.01% | 54.48% | 54.90% | 65.28% | 62.11% | 59.00% | 55.94% | 56.11% | 55.48% | 55.01% | 54.64% |
December 31, 2024 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $36,868,000K ÷ $64,365,000K
= 57.28%
The gross profit margin of International Business Machines has exhibited some fluctuations over the analyzed period. It increased steadily from 54.64% as of December 31, 2019, reaching a peak of 65.28% on September 30, 2021. This significant improvement could indicate that IBM effectively managed its production costs or achieved higher revenues from its core operations during that time frame.
However, the gross profit margin then decreased to 53.78% by September 30, 2022, before recovering slightly to 54.45% by December 31, 2023. This oscillation may suggest some challenges in maintaining profitability levels consistently, potentially attributed to changes in pricing strategies, input costs, or shifts in product mix.
By the end of the analyzed period on December 31, 2024, the gross profit margin showed an upturn to 57.28%. This improvement could indicate efforts to enhance operational efficiencies, optimize resource allocation, or generate higher sales revenues relative to the cost of goods sold.
Overall, the trend in IBM's gross profit margin demonstrates both positive and negative fluctuations, highlighting the company's ability to adapt to market conditions and manage its cost structure effectively. Monitoring this metric further could provide insights into IBM's operational performance and competitiveness within its industry.
Peer comparison
Dec 31, 2024
See also:
International Business Machines Gross Profit Margin (Quarterly Data)