McDonald’s Corporation (MCD)

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	20,744,000	21,220,000	21,020,300	21,052,900	20,898,600	20,521,300	19,803,100	19,057,900	18,819,800	18,830,400	19,169,200	19,385,800	18,977,000	18,286,100	17,661,600	15,612,000	15,225,800	14,750,400	14,709,100	16,350,900
Revenue (ttm)	US$ in thousands	25,920,000	25,938,200	25,757,200	25,765,200	25,494,200	25,014,500	24,194,600	23,415,000	23,182,600	23,265,200	23,594,400	23,763,900	23,222,900	22,527,600	21,744,400	19,618,000	19,207,800	19,243,000	19,327,200	20,975,500
Gross profit margin		80.03%	81.81%	81.61%	81.71%	81.97%	82.04%	81.85%	81.39%	81.18%	80.94%	81.24%	81.58%	81.72%	81.17%	81.22%	79.58%	79.27%	76.65%	76.11%	77.95%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $20,744,000K ÷ $25,920,000K
= 80.03%

McDonald’s Corporation has shown a consistent trend in its gross profit margin over the period from March 31, 2020, to December 31, 2024. The gross profit margin started at 77.95% in March 2020 and exhibited fluctuations before reaching a peak of 82.04% in September 30, 2023. However, by the end of December 31, 2024, the gross profit margin declined to 80.03%.

Overall, McDonald’s managed to maintain a relatively high gross profit margin throughout the analyzed period, which indicates effective cost control and efficient operations in generating revenue from its core business activities. It would be important for stakeholders to further investigate the factors behind the fluctuations in the gross profit margin to ensure sustainable profitability in the future.