Pitney Bowes Inc (PBI)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 2,163,970 | 2,446,060 | 1,122,000 | 1,149,420 | 1,282,990 |
| Revenue | US$ in thousands | 3,266,350 | 3,538,040 | 3,673,560 | 3,554,080 | 3,205,120 |
| Gross profit margin | 66.25% | 69.14% | 30.54% | 32.34% | 40.03% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $2,163,970K ÷ $3,266,350K
= 66.25%
Pitney Bowes, Inc.'s gross profit margin has shown fluctuations over the past five years. The margin decreased from 41.42% in 2019 to 33.23% in 2023, which indicates a declining trend over this period. This decline suggests that the company may be facing challenges in maintaining profitability on its sales after covering the cost of goods sold.
It is important for Pitney Bowes to closely monitor and analyze the factors affecting its gross profit margin, such as pricing strategies, input costs, and operational efficiencies. By doing so, the company can identify areas for improvement and implement strategies to enhance its profitability.
Furthermore, comparing the gross profit margin to industry benchmarks and competitors' margins can provide valuable insights into Pitney Bowes' performance and competitiveness in the market. This analysis can help the company identify areas where it may need to focus on improving its cost structure or pricing strategies to enhance its gross profit margin in the future.