RPC Inc (RES)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 246,013 | 288,347 | 15,193 | -303,719 | -52,351 |
| Revenue | US$ in thousands | 1,627,900 | 1,610,970 | 874,713 | 607,747 | 1,225,850 |
| Gross profit margin | 15.11% | 17.90% | 1.74% | -49.97% | -4.27% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $246,013K ÷ $1,627,900K
= 15.11%
The gross profit margin of RPC, Inc. has exhibited fluctuations over the past five years. In 2023, the gross profit margin increased to 32.64% from 32.07% in 2022, indicating an improvement in the company's ability to generate profit from its core operations. This upward trend is also evident compared to the margins of 23.32% in 2021, 19.65% in 2020, and 24.77% in 2019.
The consistent improvement in the gross profit margin from 2020 onwards suggests that RPC, Inc. has been effectively managing its production costs and/or pricing strategies to enhance profitability. It is essential for the company to sustain and potentially increase this trend to ensure long-term financial health and competitiveness within the industry.
Peer comparison
Dec 31, 2023