L3Harris Technologies Inc (LHX)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 464,000 | 480,000 | 1,059,000 | 233,000 | 1,964,000 |
| Revenue | US$ in thousands | 18,876,000 | 16,777,000 | 17,769,000 | 17,913,000 | 6,632,000 |
| Gross profit margin | 2.46% | 2.86% | 5.96% | 1.30% | 29.61% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $464,000K ÷ $18,876,000K
= 2.46%
The gross profit margin of L3Harris Technologies Inc has shown fluctuations over the past five years. In 2019, the company reported a significantly high gross profit margin of 29.61%, which may indicate strong pricing power or efficient cost control measures at that time. However, the gross profit margin decreased drastically to 1.30% in 2020, suggesting a significant decline in profitability, possibly due to higher costs or pricing pressures.
In 2021, there was a notable improvement in the gross profit margin to 5.96%, indicating that the company may have implemented strategies to enhance profitability. However, the gross profit margin declined again to 2.86% in 2022, suggesting some challenges in maintaining profitability.
By the end of 2023, the gross profit margin further decreased to 2.46%. This decline may raise concerns about the company's ability to generate profits after accounting for its direct production costs.
Overall, the fluctuating trend in L3Harris Technologies Inc's gross profit margin indicates variability in its profitability performance over the years, which may require further investigation into the factors driving these changes.
Peer comparison
Dec 31, 2023