Masimo Corporation (MASI)

Gross profit margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Gross profit (ttm)	US$ in thousands	1,004,400	1,022,400	994,000	960,400	1,003,500	1,054,200	1,101,900	1,138,900	1,058,800	960,296	881,396	816,096	808,271	780,301	755,627	754,311	743,065	723,062	700,404	663,159
Revenue (ttm)	US$ in thousands	2,027,700	2,041,700	2,025,400	1,980,800	2,054,500	2,137,700	2,211,700	2,330,200	2,062,041	1,774,419	1,519,833	1,244,351	1,239,153	1,206,629	1,177,327	1,173,162	1,143,744	1,096,200	1,047,099	975,798
Gross profit margin		49.53%	50.08%	49.08%	48.49%	48.84%	49.31%	49.82%	48.88%	51.35%	54.12%	57.99%	65.58%	65.23%	64.67%	64.18%	64.30%	64.97%	65.96%	66.89%	67.96%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $1,004,400K ÷ $2,027,700K
= 49.53%

Masimo Corporation's gross profit margin has shown a declining trend over the past few years based on the provided data. The company's gross profit margin decreased from 67.96% as of March 31, 2020, to 49.53% as of December 31, 2024.

During this period, there were fluctuations in the gross profit margin, indicating variability in the company's ability to generate profits from its core operations. The gross profit margin peaked at 67.96% in March 2020, then experienced fluctuations with occasional slight increases until the margin began to decline more significantly from June 2022 onwards.

The decreasing trend in the gross profit margin may be concerning as it could indicate challenges in controlling direct costs related to production or potential pricing pressure in the market. It is essential for Masimo Corporation to closely monitor and address the factors contributing to the decline in gross profit margin to ensure sustainable profitability in the future.