Insteel Industries Inc (IIIN)
Gross profit margin
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 65,398 | 197,310 | 121,548 | 55,787 | 30,061 |
| Revenue | US$ in thousands | 649,188 | 826,832 | 590,601 | 472,618 | 455,713 |
| Gross profit margin | 10.07% | 23.86% | 20.58% | 11.80% | 6.60% |
September 30, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $65,398K ÷ $649,188K
= 10.07%
Insteel Industries, Inc.'s gross profit margin has fluctuated over the past five years. The margin declined significantly from 23.86% in October 2022 to 10.07% in September 2023. This indicates a considerable reduction in the company's ability to generate profits from its core operations over this period. The trend suggests a potential decline in the efficiency of production or an increase in production costs relative to sales revenue. Further analysis of the company's cost structure and pricing strategy would be necessary to pinpoint the specific factors driving this trend. Additionally, comparing the gross profit margin with industry benchmarks may provide insight into the company's competitive position within its sector.
Peer comparison
Sep 30, 2023