Quaker Chemical Corporation (KWR)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 705,644 | 612,654 | 594,640 | 513,443 | 392,117 |
| Revenue | US$ in thousands | 1,882,550 | 1,894,680 | 1,740,470 | 1,384,720 | 1,116,840 |
| Gross profit margin | 37.48% | 32.34% | 34.17% | 37.08% | 35.11% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $705,644K ÷ $1,882,550K
= 37.48%
Quaker Houghton's gross profit margin has exhibited fluctuations over the past five years. In 2023, the gross profit margin stood at 36.13%, showing an increase compared to the prior year (31.52% in 2022) and the year before (33.76% in 2021). This suggests an improvement in the company's ability to generate profits from its production or sales activities in the most recent year. However, the gross profit margin in 2023 is slightly lower than in 2020 (36.22%) and 2019 (34.59%).
The increase in gross profit margin in 2023 indicates that Quaker Houghton may have effectively managed its cost of goods sold, resulting in a higher percentage of revenue retained as gross profit. This improvement could be attributed to various factors such as cost control measures, efficiency improvements in production processes, or pricing strategy adjustments.
Overall, while there have been some fluctuations in Quaker Houghton's gross profit margin over the years, the recent increase in 2023 suggests a positive trend in the company's profitability and operational efficiency. Further analysis of the underlying factors driving these changes would provide more insight into the company's financial performance.
Peer comparison
Dec 31, 2023