Wingstop Inc (WING)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 289,811 | 224,865 | 159,891 | 128,943 | 98,876 |
| Revenue | US$ in thousands | 460,055 | 357,521 | 282,502 | 248,811 | 199,676 |
| Gross profit margin | 62.99% | 62.90% | 56.60% | 51.82% | 49.52% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $289,811K ÷ $460,055K
= 62.99%
The gross profit margin of Wingstop Inc has shown a consistent upward trend over the past five years, increasing from 49.52% in 2019 to 62.99% in 2023. This indicates that the company has been able to effectively manage its cost of goods sold and improve its profitability on each dollar of sales. The significant improvement in gross profit margin from 2021 to 2023 reflects the company's ability to control costs more efficiently and optimize its pricing strategies. Overall, Wingstop Inc's increasing gross profit margin signals positive operational performance and financial health, highlighting its ability to generate more profit from its core business activities.
Peer comparison
Dec 31, 2023