NewMarket Corporation (NEU)

Gross profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Gross profit	US$ in thousands	772,513	640,497	547,707	595,032	629,869
Revenue	US$ in thousands	2,657,060	2,718,050	2,315,890	1,998,090	2,157,050
Gross profit margin		29.07%	23.56%	23.65%	29.78%	29.20%

December 31, 2023 calculation

Gross profit margin = Gross profit ÷ Revenue
= $772,513K ÷ $2,657,060K
= 29.07%

The gross profit margin of NewMarket Corp. has exhibited some fluctuation over the past five years, ranging from 23.17% in 2022 to 29.59% in 2020. In the most recent year, as of Dec 31, 2023, the gross profit margin increased to 28.63%, showing a positive trend compared to the previous year. This improvement indicates that the company was able to effectively control its production costs relative to its revenue, resulting in a higher percentage of revenue retained as gross profit. Overall, the company's gross profit margin performance suggests an ability to manage costs and generate profits from its core operating activities.