Zoetis Inc (ZTS)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 3,973,000 | 3,554,000 | 3,365,000 | 3,188,000 | 2,593,000 |
| Revenue | US$ in thousands | 9,256,000 | 8,544,000 | 8,080,000 | 7,776,000 | 6,675,000 |
| Gross profit margin | 42.92% | 41.60% | 41.65% | 41.00% | 38.85% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $3,973,000K ÷ $9,256,000K
= 42.92%
Zoetis Inc's gross profit margin has exhibited a positive trend over the years, reflecting improvements in the company's cost management and pricing strategies. From 38.85% in December 31, 2020, the gross profit margin increased steadily to 41.00% in December 31, 2021, and continued to rise to 41.65% in December 31, 2022. The margin remained relatively stable at around 41.60% in December 31, 2023, before experiencing a significant jump to 42.92% by December 31, 2024.
This upward trajectory suggests that Zoetis has been able to effectively control its production costs and maintain competitive pricing, resulting in a higher percentage of revenue retained as gross profit. The latest figure of 42.92% indicates a strong performance in efficiently managing direct costs associated with producing goods or services, potentially leading to improved profitability for the company.
Peer comparison
Dec 31, 2024