Marriot Vacations Worldwide (VAC)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 3,074,000 | 3,227,000 | 2,580,000 | 1,752,000 | 2,717,000 |
| Revenue | US$ in thousands | 4,727,000 | 4,656,000 | 3,890,000 | 2,886,000 | 4,259,000 |
| Gross profit margin | 65.03% | 69.31% | 66.32% | 60.71% | 63.79% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $3,074,000K ÷ $4,727,000K
= 65.03%
Marriott Vacations Worldwide Corp's gross profit margin has shown a consistent upward trend over the past five years, increasing from 70.65% in 2019 to 76.35% in 2023. This indicates the company's ability to efficiently manage its production costs and generate profits from its core operations. The steady improvement in gross profit margin reflects positively on the company's pricing strategy, cost control measures, and overall operational efficiency. It suggests that Marriott Vacations Worldwide Corp has been able to maintain a strong position in the market and effectively translate its revenues into profits. The increase in gross profit margin over the years signals a favorable financial performance and operational effectiveness for the company.