Rollins Inc (ROL)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 543,704 | 484,765 | 398,324 | 344,632 | 38,440 |
| Revenue | US$ in thousands | 3,388,710 | 3,069,670 | 2,693,180 | 2,423,470 | 2,161,220 |
| Gross profit margin | 16.04% | 15.79% | 14.79% | 14.22% | 1.78% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $543,704K ÷ $3,388,710K
= 16.04%
Based on the data provided, Rollins Inc's gross profit margin has shown a consistent upward trend over the past five years. In December 2020, the gross profit margin was only 1.78%, indicating that the company was generating very limited profits relative to its revenue. However, by December 2024, the gross profit margin had increased significantly to 16.04%, reflecting a substantial improvement in the company's ability to control its cost of goods sold and generate higher profits from its sales.
The consistent increase in the gross profit margin suggests that Rollins Inc has been effectively managing its production and operating costs, resulting in a more efficient and profitable business model. This improvement in profitability may be attributed to various factors such as economies of scale, operational efficiencies, pricing strategies, or cost-saving initiatives implemented by the company.
Overall, the rising trend in Rollins Inc's gross profit margin indicates positive developments in the company's financial performance and efficiency in generating profits from its core business activities.
Peer comparison
Dec 31, 2024