Callaway Golf Company (MODG)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 1,690,200 | 2,985,800 | 2,834,200 | 2,167,460 | 657,585 |
| Revenue | US$ in thousands | 4,259,500 | 4,100,200 | 3,879,900 | 3,049,960 | 1,551,060 |
| Gross profit margin | 39.68% | 72.82% | 73.05% | 71.07% | 42.40% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $1,690,200K ÷ $4,259,500K
= 39.68%
Based on the data provided, the gross profit margin of Callaway Golf Company has shown fluctuations over the years. In December 31, 2020, the gross profit margin was 42.40%, which increased significantly to 71.07% by December 31, 2021. This upward trend continued into 2022 and 2023, with gross profit margins of 73.05% and 72.82% respectively.
However, there was a notable decline in the gross profit margin by December 31, 2024, dropping to 39.68%. This decrease could indicate various factors such as changes in production costs, pricing strategies, or sales volumes.
Overall, while the company experienced a significant improvement in its gross profit margin in the initial years, the subsequent decline in 2024 raises questions about the company's cost management and pricing strategies that may require further investigation.
Peer comparison
Dec 31, 2024