Lockheed Martin Corporation (LMT)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 8,479,000 | 8,287,000 | 9,061,000 | 8,654,000 | 8,367,000 |
| Revenue | US$ in thousands | 67,571,000 | 65,984,000 | 67,044,000 | 65,398,000 | 59,812,000 |
| Gross profit margin | 12.55% | 12.56% | 13.52% | 13.23% | 13.99% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $8,479,000K ÷ $67,571,000K
= 12.55%
Lockheed Martin Corp.'s gross profit margin has exhibited some fluctuations over the past five years. The gross profit margin decreased from 13.99% in 2019 to 13.27% in 2020 before experiencing a further decline to 13.57% in 2021. Subsequently, the margin decreased to 12.71% in 2022 and then to 12.68% in 2023. This trend indicates a general downward trajectory in the company's ability to generate profits from its revenue after accounting for the cost of goods sold. It may be worthwhile for stakeholders to investigate the factors contributing to these declining margins and consider potential strategies to reverse this trend.