Masimo Corporation (MASI)

Gross profit margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Gross profit US$ in thousands 1,004,400 1,003,500 1,058,800 808,400 743,000
Revenue US$ in thousands 2,039,900 2,053,900 2,073,900 1,239,150 1,143,740
Gross profit margin 49.24% 48.86% 51.05% 65.24% 64.96%

December 31, 2024 calculation

Gross profit margin = Gross profit ÷ Revenue
= $1,004,400K ÷ $2,039,900K
= 49.24%

Masimo Corporation's gross profit margin has exhibited fluctuations over the years based on the provided data. The margin stood at 64.96% as of December 31, 2020, showing a slight increase to 65.24% by December 31, 2021. However, there was a notable decrease in the margin to 51.05% by December 31, 2022, followed by a further decline to 48.86% by December 31, 2023. In the latest period as of December 31, 2024, the gross profit margin improved slightly to 49.24%.

These fluctuations in the gross profit margin suggest a varying level of efficiency in Masimo Corporation's cost management and pricing strategy over the years. The declining trend in the margin from 2021 to 2023 may indicate challenges in maintaining profitability amid changing market conditions or cost pressures. It is important for the company to closely monitor and address factors influencing its gross profit margin to ensure sustained profitability and operational effectiveness.