Valmont Industries Inc (VMI)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 1,236,030 | 4,345,250 | 883,889 | 765,514 | 682,681 |
| Revenue | US$ in thousands | 4,116,820 | 4,345,250 | 3,459,920 | 2,854,220 | 2,732,240 |
| Gross profit margin | 30.02% | 100.00% | 25.55% | 26.82% | 24.99% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $1,236,030K ÷ $4,116,820K
= 30.02%
The gross profit margin of Valmont Industries Inc has shown variability over the past five years, ranging from 24.99% in 2019 to 100.00% in 2022. This signifies fluctuations in the company's ability to generate profits from its core business operations after accounting for the cost of goods sold. The significant spike to 100.00% in 2022 may indicate certain extraordinary events or accounting adjustments that temporarily inflated the gross profit margin. Overall, the average gross profit margin for the period is 41.28%, suggesting a moderate level of profitability in the company's operations. Management should focus on sustaining or improving the gross profit margin to enhance profitability and shareholder value over time.
Peer comparison
Dec 31, 2023