TRI Pointe Homes Inc (TPH)

Gross profit margin

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Gross profit (ttm)	US$ in thousands	3,574,962	3,736,452	3,876,905	3,988,205	3,952,272	3,615,612	3,578,389	3,578,263	3,562,424	2,749,116	1,999,726	1,246,320	730,718	727,832	712,326	662,493	610,162	593,300	588,830	636,181
Revenue (ttm)	US$ in thousands	3,715,206	3,978,306	4,211,590	4,391,951	4,348,534	4,035,744	3,997,134	3,997,504	3,982,226	3,833,046	3,632,320	3,384,366	3,260,450	3,340,890	3,256,821	3,185,429	3,083,011	3,074,441	3,101,117	3,173,706
Gross profit margin		96.23%	93.92%	92.05%	90.81%	90.89%	89.59%	89.52%	89.51%	89.46%	71.72%	55.05%	36.83%	22.41%	21.79%	21.87%	20.80%	19.79%	19.30%	18.99%	20.05%

December 31, 2023 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $3,574,962K ÷ $3,715,206K
= 96.23%

Tri Pointe Homes Inc. has exhibited a declining trend in its gross profit margin over the quarters of 2022 and 2023. The margins have steadily decreased from 27.27% in Q4 2022 to 23.27% in Q4 2023. This downward trajectory indicates potential challenges in maintaining profitability in the company's operations. It is important for the company to assess the factors contributing to this trend and take necessary steps to improve efficiency in production or pricing strategies to enhance gross profit margins in the future.