MGP Ingredients Inc (MGPI)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 304,712 | 253,306 | 198,965 | 98,806 | 76,532 |
| Revenue | US$ in thousands | 829,876 | 776,907 | 622,687 | 393,353 | 361,687 |
| Gross profit margin | 36.72% | 32.60% | 31.95% | 25.12% | 21.16% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $304,712K ÷ $829,876K
= 36.72%
The gross profit margin of MGP Ingredients, Inc. has shown a positive trend over the past five years. Starting at 21.10% in 2019, the gross profit margin has steadily increased each year, reaching 36.43% by the end of 2023. This indicates that the company has been able to effectively control its cost of goods sold and improve its pricing strategies to generate a higher proportion of revenue as gross profit. The consistent improvement in gross profit margin suggests that MGP Ingredients, Inc. has been able to enhance its operational efficiency and potentially strengthen its competitive position in the market.