Vestis Corporation (VSTS)
Gross profit margin
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 855,071 | 777,329 | 690,942 | 748,011 |
| Revenue | US$ in thousands | 2,825,290 | 2,687,000 | 2,456,580 | 2,562,000 |
| Gross profit margin | 30.26% | 28.93% | 28.13% | 29.20% |
September 30, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $855,071K ÷ $2,825,290K
= 30.26%
Vestis Corporation's gross profit margin has shown a positive trend over the past four years. In particular, there has been a steady improvement from 29.20% in 2020 to 30.26% in 2023. This indicates that the company has been able to effectively control its direct costs of goods sold relative to its revenue, resulting in a higher percentage of each revenue dollar retained as gross profit. The consistent increase in gross profit margin suggests that Vestis Corporation may have implemented cost-saving measures, negotiated better supplier contracts, or improved pricing strategies. Overall, the upward trajectory of Vestis Corporation's gross profit margin is a positive indicator of the company's operational efficiency and potential profitability.
Peer comparison
Sep 30, 2023