Sonic Automotive Inc (SAH)

Gross profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Gross profit	US$ in thousands	2,245,700	2,317,000	1,914,300	1,423,600	1,521,000
Revenue	US$ in thousands	14,238,800	13,905,900	12,344,200	9,728,520	10,454,300
Gross profit margin		15.77%	16.66%	15.51%	14.63%	14.55%

December 31, 2023 calculation

Gross profit margin = Gross profit ÷ Revenue
= $2,245,700K ÷ $14,238,800K
= 15.77%

Sonic Automotive, Inc.'s gross profit margin has fluctuated over the past five years, ranging from 14.55% in 2019 to 16.55% in 2022. In 2023, the gross profit margin decreased to 15.63%. This margin represents the percentage of revenue that remains after deducting the cost of goods sold, indicating the company's efficiency in production and pricing strategies. While the downward trend in 2023 may raise concerns, further analysis of cost management and pricing strategies is warranted to fully assess Sonic Automotive, Inc.'s financial performance.