Power Integrations Inc (POWI)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 224,751 | 228,956 | 366,907 | 360,639 | 243,590 |
| Revenue | US$ in thousands | 418,973 | 444,538 | 651,138 | 703,277 | 488,318 |
| Gross profit margin | 53.64% | 51.50% | 56.35% | 51.28% | 49.88% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $224,751K ÷ $418,973K
= 53.64%
Power Integrations Inc's gross profit margin has been showing an upward trend over the years, indicating an improvement in the company's ability to generate profit from its core operations.
Starting at 49.88% as of December 31, 2020, the gross profit margin increased to 51.28% by December 31, 2021, and further rose to 56.35% by December 31, 2022, showcasing a significant improvement in profitability during this period.
However, there was a slight decrease in the gross profit margin to 51.50% by December 31, 2023, before rebounding to 53.64% by December 31, 2024. This fluctuation may be indicative of changes in factors such as production costs, pricing strategies, or sales volume affecting the company's profitability.
Overall, the trend suggests that Power Integrations Inc has been effectively managing its production costs and pricing strategies to enhance its gross profit margin, which is a positive indicator of the company's operational efficiency and profitability.
Peer comparison
Dec 31, 2024