Novanta Inc (NOVT)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 421,545 | 399,897 | 378,472 | 300,328 | 244,517 |
| Revenue | US$ in thousands | 949,722 | 879,785 | 859,523 | 705,061 | 588,129 |
| Gross profit margin | 44.39% | 45.45% | 44.03% | 42.60% | 41.58% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $421,545K ÷ $949,722K
= 44.39%
Novanta Inc's gross profit margin has shown a positive trend over the past five years, increasing from 41.58% in December 31, 2020, to 44.39% in December 31, 2024. This indicates that the company has been able to effectively manage its production costs and generate more revenue from its core operations. The year-over-year improvements suggest that Novanta has been successful in enhancing the efficiency of its manufacturing processes and pricing strategies. However, the slight decrease in the gross profit margin in 2024 compared to the previous year may warrant further investigation to understand the underlying factors driving this change. Overall, the consistent growth in the gross profit margin reflects positively on Novanta's profitability and operational performance.
Peer comparison
Dec 31, 2024