nVent Electric PLC (NVT)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 1,342,100 | 1,096,700 | 941,900 | 749,400 | 865,800 |
| Revenue | US$ in thousands | 3,195,600 | 2,877,800 | 2,414,500 | 1,962,200 | 2,159,300 |
| Gross profit margin | 42.00% | 38.11% | 39.01% | 38.19% | 40.10% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $1,342,100K ÷ $3,195,600K
= 42.00%
nVent Electric plc's gross profit margin has shown fluctuations over the past five years. In 2023, the gross profit margin improved to 41.12% from 37.70% in 2022, indicating an increase in the company's profitability from its core operations. This signifies that nVent Electric plc was able to effectively manage its production costs and generate a higher gross profit relative to its revenue in the most recent year. However, it is worth noting that the gross profit margin was slightly lower in 2021 at 38.26% compared to 2020 at 37.50%. The company experienced a peak in gross profit margin in 2019 at 39.28%.
Overall, nVent Electric plc's gross profit margin has demonstrated some volatility in recent years, but the latest increase in 2023 suggests improved efficiency in managing production costs and generating profits from its core business activities. Additional analysis of the company's cost structure and revenue streams may provide further insights into the factors driving these fluctuations over the years.
Peer comparison
Dec 31, 2023