Incyte Corporation (INCY)

Gross profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Gross profit	US$ in thousands	3,929,150	3,438,110	3,187,640	2,835,280	2,535,370
Revenue	US$ in thousands	4,241,220	3,693,100	3,394,640	2,986,270	2,666,700
Gross profit margin		92.64%	93.10%	93.90%	94.94%	95.08%

December 31, 2024 calculation

Gross profit margin = Gross profit ÷ Revenue
= $3,929,150K ÷ $4,241,220K
= 92.64%

Incyte Corporation's gross profit margin has exhibited a gradual decline over the five-year period from December 31, 2020, to December 31, 2024. The company's gross profit margin was at a robust 95.08% in 2020, indicating that for each dollar of revenue generated, 95 cents were retained after accounting for the cost of goods sold.

However, there was a slight decrease in the gross profit margin to 94.94% in 2021, followed by further declines to 93.90% in 2022, 93.10% in 2023, and 92.64% in 2024. This downward trend suggests that the company may be facing challenges in controlling its production costs relative to its revenues. It is essential for Incyte Corporation to monitor and address factors impacting its cost of goods sold to sustain or improve its gross profit margin in the future.