Linde plc Ordinary Shares (LIN)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 8,128,000 | 5,730,000 | 5,146,000 | 3,314,000 | 2,561,000 |
| Revenue | US$ in thousands | 32,607,000 | 33,283,000 | 30,594,000 | 26,960,000 | 28,135,000 |
| Gross profit margin | 24.93% | 17.22% | 16.82% | 12.29% | 9.10% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $8,128,000K ÷ $32,607,000K
= 24.93%
Linde Plc.'s gross profit margin has shown a fluctuating trend over the past five years. The margin increased from 41.04% in 2019 to 43.53% in 2020, indicating an improvement in the company's ability to generate profit from its core business activities. However, in 2021, there was a slight dip in the gross profit margin to 43.03%, which suggests a potential decrease in the company's profitability or an increase in the cost of goods sold.
In 2022, there was a further decrease in the gross profit margin to 41.70%, indicating a continued challenge in maintaining profitability. However, the margin rebounded in 2023 to 46.76%, reaching a level higher than any of the previous years. This improvement could signify enhanced efficiency in managing production costs or an increase in the selling price of goods.
Overall, while there have been fluctuations in Linde Plc.'s gross profit margin over the years, the recent increase in 2023 may indicate positive momentum towards improving profitability. Further analysis of the company's cost structure and sales performance would be necessary to understand the factors driving these changes in the gross profit margin.
Peer comparison
Dec 31, 2023