Synnex Corporation (SNX)
Gross profit margin
| Nov 30, 2023 | Nov 30, 2022 | Nov 30, 2021 | Nov 30, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 3,956,830 | 3,900,200 | 1,889,530 | 1,193,860 | 1,157,260 |
| Revenue | US$ in thousands | 57,555,400 | 62,343,800 | 31,614,200 | 19,977,200 | 19,070,000 |
| Gross profit margin | 6.87% | 6.26% | 5.98% | 5.98% | 6.07% |
November 30, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $3,956,830K ÷ $57,555,400K
= 6.87%
The gross profit margin for TD Synnex Corp has exhibited fluctuations over the past five years. In 2019, the gross profit margin was relatively high at 12.20%, indicative of a strong ability to generate profit from sales after deducting the cost of goods sold. However, there was a notable decline in 2020, with the margin dropping to 11.54%. This trend continued in 2021, as the gross profit margin decreased further to 5.98%. The margin improved slightly in 2022 to 6.26% but remained relatively low compared to previous years.
The most recent data for 2023 shows a slight improvement, with the gross profit margin increasing to 6.87%. Despite this increase, the margin still remains lower than the levels observed in 2019 and prior.
The consistent decline in gross profit margin from 2019 to 2022 may indicate challenges in managing the cost of goods sold in relation to sales revenue. Factors such as rising production costs, pricing pressures, or inefficiencies in production and inventory management could have contributed to this trend.
It is important for stakeholders to closely monitor the gross profit margin trend to assess the company's ability to maintain profitability and effectively control production costs. Further analysis of the company's cost structure and pricing strategies may provide insights into the factors influencing the changes in the gross profit margin over the years.
Peer comparison
Nov 30, 2023