ON Semiconductor Corporation (ON)

Gross profit margin

		Dec 31, 2024	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
Gross profit (ttm)	US$ in thousands	3,216,100	3,378,900	3,610,200	3,819,600	3,883,500	3,962,100	3,989,700	4,033,400	4,077,200	3,888,900	3,551,400	3,154,400	2,714,300	2,379,700	2,100,100	1,834,300	1,715,800	1,703,900	1,737,900	1,862,600
Revenue (ttm)	US$ in thousands	7,082,300	7,377,900	7,796,800	8,156,000	8,253,000	8,338,500	8,350,300	8,340,900	8,326,200	8,068,700	7,618,200	7,203,100	6,739,800	6,340,000	5,915,200	5,458,800	5,255,000	5,210,500	5,275,000	5,409,200
Gross profit margin		45.41%	45.80%	46.30%	46.83%	47.06%	47.52%	47.78%	48.36%	48.97%	48.20%	46.62%	43.79%	40.27%	37.53%	35.50%	33.60%	32.65%	32.70%	32.95%	34.43%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $3,216,100K ÷ $7,082,300K
= 45.41%

The gross profit margin of ON Semiconductor Corporation has shown a fluctuating trend over the analyzed period. Starting at 34.43% in March 2020, the margin dipped to 32.95% in June 2020 and continued to decrease, reaching 32.70% in September 2020.

From December 2020 onward, there was a gradual improvement in the gross profit margin, with an upward trajectory demonstrated in each subsequent quarter. The margin increased to 40.27% by December 2021 and notably peaked at 48.97% by December 2022.

However, from March 2023 onwards, there was a decline in the gross profit margin, falling to 45.41% by December 2024. This downward trend may indicate potential challenges in managing costs or pricing pressures impacting the company's profitability.