Watts Water Technologies Inc (WTS)
Gross profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 960,900 | 874,300 | 767,100 | 625,400 | 677,500 |
| Revenue | US$ in thousands | 2,048,400 | 1,972,700 | 1,803,100 | 1,494,900 | 1,586,400 |
| Gross profit margin | 46.91% | 44.32% | 42.54% | 41.84% | 42.71% |
December 31, 2023 calculation
Gross profit margin = Gross profit ÷ Revenue
= $960,900K ÷ $2,048,400K
= 46.91%
The gross profit margin of Watts Water Technologies, Inc. has shown a consistent upward trend over the past five years, reaching 46.73% as of December 31, 2023. This indicates that the company has been able to effectively manage its production costs and pricing strategies to generate higher profits from its sales. The steady improvement in the gross profit margin reflects positively on the company's operational efficiency and ability to maintain healthy margins despite potential cost pressures. Overall, the increasing trend in the gross profit margin demonstrates Watts Water Technologies, Inc.'s strength in managing its cost of goods sold relative to its revenue, which is essential for sustaining profitability in the long term.
Peer comparison
Dec 31, 2023