MGP Ingredients Inc (MGPI)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 286,317 | 304,712 | 253,306 | 198,965 | 98,806 |
| Revenue | US$ in thousands | 703,625 | 836,523 | 782,358 | 626,720 | 395,521 |
| Gross profit margin | 40.69% | 36.43% | 32.38% | 31.75% | 24.98% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $286,317K ÷ $703,625K
= 40.69%
The gross profit margin of MGP Ingredients Inc has shown a positive trend over the years, indicating an improvement in its profitability. From 24.98% as of December 31, 2020, the gross profit margin has steadily increased to 40.69% as of December 31, 2024. This consistent growth suggests that the company has been effectively managing its cost of goods sold and achieving higher margins on its products. A rising gross profit margin is generally viewed favorably by investors and indicates a company's ability to generate revenue while controlling production costs. MGP Ingredients Inc's increasing gross profit margin reflects its operational efficiency and may signify a stronger competitive position within its industry.