NetScout Systems Inc (NTCT)

Gross profit margin

Mar 31, 2025 Mar 31, 2024 Mar 31, 2023 Mar 31, 2022 Mar 31, 2021
Gross profit US$ in thousands 643,944 642,043 691,432 641,389 609,185
Revenue US$ in thousands 822,679 829,455 914,530 855,575 831,282
Gross profit margin 78.27% 77.41% 75.61% 74.97% 73.28%

March 31, 2025 calculation

Gross profit margin = Gross profit ÷ Revenue
= $643,944K ÷ $822,679K
= 78.27%

The gross profit margin of NetScout Systems Inc has shown a consistent and impressive upward trend over the past five years. Starting at 73.28% as of March 31, 2021, the margin increased steadily to 78.27% by March 31, 2025. This signifies the company's ability to effectively manage its production costs and generate a higher proportion of revenue as gross profit, which is a positive indicator of operational efficiency and potentially strong pricing power. The steady improvement in the gross profit margin reflects NetScout Systems' ability to optimize its cost structure and enhance its profitability over the years. This positive trend suggests that the company's financial health and operational performance have been on an upward trajectory, which could be perceived favorably by investors and stakeholders.