Weatherford International PLC (WFRD)

Gross profit margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Gross profit (ttm)	US$ in thousands	5,270,000	4,913,000	4,824,000	4,721,000	4,560,000	4,692,000	4,499,000	4,283,000	4,012,000	2,351,000	3,016,000	3,681,000	4,357,000	4,345,000	4,143,000	3,668,000	3,199,000	3,466,000	2,438,000	1,718,000
Revenue (ttm)	US$ in thousands	5,505,000	5,422,000	5,326,000	5,195,000	5,023,000	4,982,000	4,789,000	4,579,000	4,331,000	4,087,000	3,912,000	3,751,000	3,645,000	2,718,000	3,357,000	4,096,000	4,479,000	5,656,000	5,386,000	5,053,000
Gross profit margin		95.73%	90.61%	90.57%	90.88%	90.78%	94.18%	93.94%	93.54%	92.63%	57.52%	77.10%	98.13%	119.53%	159.86%	123.41%	89.55%	71.42%	61.28%	45.27%	34.00%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $5,270,000K ÷ $5,505,000K
= 95.73%

Weatherford International PLC's gross profit margin has shown significant fluctuation over the quarters analyzed. From March 31, 2020, where it stood at 34.00%, the margin steadily increased to reach 159.86% by September 30, 2021, indicating improving profitability.

However, there was a sudden drop in the margin to 119.53% by December 31, 2021, followed by a further decrease to 57.52% by September 30, 2022, reflecting a decline in profitability. Subsequently, the gross profit margin gradually improved to 95.73% by December 31, 2024, indicating some recovery.

Throughout the period, the gross profit margin generally remained above 80%, indicating that Weatherford International PLC has been able to maintain a healthy level of profitability despite the fluctuations observed. It is essential for the company to closely monitor and manage its cost of goods sold and revenue generation to sustain and enhance its profitability in the long term.