Verizon Communications Inc (VZ)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 81,350,000 | 76,055,000 | 91,666,000 | 92,325,000 | 79,353,000 |
| Revenue | US$ in thousands | 134,788,000 | 133,974,000 | 136,835,000 | 133,613,000 | 128,292,000 |
| Gross profit margin | 60.35% | 56.77% | 66.99% | 69.10% | 61.85% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $81,350,000K ÷ $134,788,000K
= 60.35%
Verizon Communications Inc's gross profit margin has exhibited fluctuations over the past five years. The margin increased from 61.85% as of December 31, 2020, to 69.10% by December 31, 2021, indicating improved efficiency in generating profits from sales. However, there was a slight decrease to 66.99% as of December 31, 2022. By December 31, 2023, the gross profit margin dropped significantly to 56.77%, pointing towards potential challenges in managing production costs or pricing strategies. Despite the decline in 2023, there was a recovery to 60.35% by December 31, 2024. Overall, while the trend has been somewhat volatile, it is essential for Verizon to monitor and manage its gross profit margin effectively to ensure sustainable profitability and operational efficiency.
Peer comparison
Dec 31, 2024