Cactus Inc (WHD)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 436,393 | 406,292 | 242,448 | 121,448 | 111,618 |
| Revenue | US$ in thousands | 1,129,810 | 1,096,960 | 688,369 | 438,589 | 348,566 |
| Gross profit margin | 38.63% | 37.04% | 35.22% | 27.69% | 32.02% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $436,393K ÷ $1,129,810K
= 38.63%
Based on the data provided, Cactus Inc's gross profit margin has shown fluctuations over the years. In December 2020, the gross profit margin was 32.02%, which decreased to 27.69% by December 2021. However, in the following years, there was a notable improvement as the gross profit margin increased to 35.22% in December 2022, 37.04% in December 2023, and further to 38.63% by December 2024.
The rising trend in the gross profit margin indicates that Cactus Inc has been able to effectively manage its cost of goods sold while increasing its revenue, leading to a higher percentage of gross profit from sales. This improvement could be attributed to various factors such as better pricing strategies, cost controls, operational efficiencies, or product mix optimization.
Overall, the increasing trend in Cactus Inc's gross profit margin from 2021 to 2024 reflects a positive financial performance and an enhancement in the company's profitability levels. It suggests that the company has been successful in generating higher profits from its core business activities over the years.
Peer comparison
Dec 31, 2024