nVent Electric PLC (NVT)
Gross profit margin
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 1,388,700 | 1,366,700 | 1,330,300 | 1,278,000 | 1,215,800 | 1,216,700 | 1,152,600 | 1,096,700 | 1,052,300 | 1,012,800 | 980,200 | 941,900 | 891,700 | 838,000 | 763,100 | 749,400 | 772,000 | 799,300 | 851,200 | 865,800 |
| Revenue (ttm) | US$ in thousands | 3,297,200 | 3,378,900 | 3,314,100 | 3,194,500 | 3,090,800 | 2,994,600 | 2,923,100 | 2,877,800 | 2,790,500 | 2,688,000 | 2,561,200 | 2,414,500 | 2,289,800 | 2,156,000 | 2,000,600 | 1,970,800 | 2,016,300 | 2,063,700 | 2,153,500 | 2,170,000 |
| Gross profit margin | 42.12% | 40.45% | 40.14% | 40.01% | 39.34% | 40.63% | 39.43% | 38.11% | 37.71% | 37.68% | 38.27% | 39.01% | 38.94% | 38.87% | 38.14% | 38.03% | 38.29% | 38.73% | 39.53% | 39.90% |
September 30, 2024 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $1,388,700K ÷ $3,297,200K
= 42.12%
nVent Electric PLC has shown variations in its gross profit margin over the historical periods presented. The gross profit margin has generally been in the range of 37% to 42% over the last few years, indicating the company's ability to generate profit from its core business operations after accounting for the cost of goods sold.
There was a slight increase in the gross profit margin from the end of 2019 to the second quarter of 2020, reaching around 39.9%. From the second quarter of 2020 to the second quarter of 2021, the gross profit margin trended downward, hitting a low of 37.68%. However, from the second quarter of 2021 to the third quarter of 2024, there was a general upward trend in the gross profit margin, reaching a peak of 42.12%.
The increasing trend in the gross profit margin in recent periods may suggest improvements in the company's pricing strategy, cost management, or a shift towards higher-margin products or services. Investors and stakeholders may view the improvement positively as it indicates the company's ability to maintain or enhance profitability in its operations. It would be essential to monitor future financial performance to assess the sustainability of this positive trend.
Peer comparison
Sep 30, 2024