Smurfit WestRock plc (SW)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 4,195,000 | 4,186,150 | 4,063,000 | 3,092,000 | 2,874,000 |
| Revenue | US$ in thousands | 21,109,000 | 12,460,100 | 12,815,000 | 10,107,000 | 8,530,000 |
| Gross profit margin | 19.87% | 33.60% | 31.71% | 30.59% | 33.69% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $4,195,000K ÷ $21,109,000K
= 19.87%
The gross profit margin of Smurfit WestRock plc has displayed fluctuating trends over the past five years. It stood at 33.69% as of December 31, 2020, declining slightly to 30.59% by December 31, 2021. Subsequently, there was a marginal improvement with a gross profit margin of 31.71% as of December 31, 2022.
The trend reversed positively in the following year, as the gross profit margin increased significantly to 33.60% by December 31, 2023, indicating better efficiency in generating revenue after accounting for the cost of goods sold. However, there was a substantial decrease in the gross profit margin to 19.87% by December 31, 2024. This significant decline may suggest challenges faced by the company in managing production costs effectively or changes in pricing strategies impacting profitability.
Overall, the fluctuating gross profit margin of Smurfit WestRock plc over the period reflects varying levels of operational efficiency and cost management within the company's core business activities. It would be important for stakeholders to further investigate the underlying factors contributing to these fluctuations to assess the company's financial performance and sustainability.
Peer comparison
Dec 31, 2024