Unifirst Corporation (UNF)

Gross profit margin

		Aug 26, 2023	Aug 27, 2022	Aug 28, 2021	Aug 29, 2020	Aug 31, 2019
Gross profit	US$ in thousands	758,489	697,222	687,509	645,609	679,263
Revenue	US$ in thousands	2,239,780	2,003,670	1,828,780	1,810,540	1,818,460
Gross profit margin		33.86%	34.80%	37.59%	35.66%	37.35%

August 26, 2023 calculation

Gross profit margin = Gross profit ÷ Revenue
= $758,489K ÷ $2,239,780K
= 33.86%

The gross profit margin of Unifirst Corp has shown a declining trend over the past five years, dropping from 37.04% in 2019 to 33.66% in 2023. This indicates a decrease in the company's ability to generate profit from its direct production costs. A declining gross profit margin may suggest challenges in managing production and overhead costs, as well as potential pricing pressures. It is important for Unifirst Corp to closely monitor and address this trend to ensure sustainable profitability and competitive positioning within its industry.

Peer comparison

Aug 26, 2023

Company name

Symbol

Gross profit margin

Unifirst Corporation

UNF

33.86%

H&R Block Inc

HRB

18.78%

Service Corporation International