Roivant Sciences Ltd (ROIV)

Gross profit margin

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022
Gross profit	US$ in thousands	-597,426	-567,648	-726,788
Revenue	US$ in thousands	90,017	33,312	48,245
Gross profit margin		-663.68%	-1,704.03%	-1,506.45%

March 31, 2024 calculation

Gross profit margin = Gross profit ÷ Revenue
= $-597,426K ÷ $90,017K
= -663.68%

Based on the data provided for Roivant Sciences Ltd, the gross profit margin has shown significant volatility over the past three years. In the financial year ending March 31, 2022, the gross profit margin was reported at -1,506.45%, indicating that the company's cost of goods sold exceeded its revenue from sales by a substantial margin. This suggests inefficient production or pricing strategies during that period.

In the subsequent financial year ending March 31, 2023, the gross profit margin worsened to -1,704.03%, indicating a further decline in profitability and potential challenges in cost control or revenue generation.

However, in the most recent financial year ending March 31, 2024, Roivant Sciences Ltd reported a gross profit margin of -663.68%, which while still negative, showed an improvement compared to the previous two years. This improvement may signify efforts to enhance operational efficiency or adjust pricing strategies to generate better margins.

Overall, the trend in Roivant Sciences Ltd's gross profit margin over the three-year period indicates a need for the company to focus on improving cost management, pricing strategies, and overall profitability to achieve sustainable growth and financial health.