Johnson & Johnson (JNJ)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 58,606,000 | 55,394,000 | 63,920,000 | 54,157,000 | 54,503,000 |
| Revenue | US$ in thousands | 84,021,000 | 79,428,000 | 93,356,000 | 82,174,000 | 81,474,000 |
| Gross profit margin | 69.75% | 69.74% | 68.47% | 65.91% | 66.90% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $58,606,000K ÷ $84,021,000K
= 69.75%
Based on the data provided, Johnson & Johnson's gross profit margin has shown a consistent improving trend over the past five years. The gross profit margin increased from 66.42% in 2019 to 68.82% in 2023, indicating that the company has been effectively managing its production costs and increasing revenues from its core operations. This improvement suggests that Johnson & Johnson has been able to maintain a healthy level of profitability in its business activities. It is worth noting that the company has achieved a gross profit margin above 65% each year, reflecting strong operational efficiency and pricing power in its industry. Overall, the consistent increase in gross profit margin demonstrates Johnson & Johnson's ability to effectively generate profits from its sales revenue.
Peer comparison
Dec 31, 2023