Zoetis Inc (ZTS)

Gross profit margin

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Gross profit (ttm)	US$ in thousands	3,580,000	3,508,000	3,422,000	3,314,000	3,374,000	3,290,000	3,294,000	3,276,000	3,232,000	3,120,000	3,032,000	2,835,000	2,601,000	3,691,000	3,585,000	3,625,000	3,562,000	3,452,000	3,354,000	3,260,000
Revenue (ttm)	US$ in thousands	8,544,000	8,371,000	8,222,000	8,094,000	8,080,000	8,007,000	7,995,000	7,891,000	7,776,000	7,616,000	7,412,000	7,012,000	6,675,000	6,542,000	6,340,000	6,339,000	6,260,000	6,150,000	6,046,000	5,914,000
Gross profit margin		41.90%	41.91%	41.62%	40.94%	41.76%	41.09%	41.20%	41.52%	41.56%	40.97%	40.91%	40.43%	38.97%	56.42%	56.55%	57.19%	56.90%	56.13%	55.47%	55.12%

December 31, 2023 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $3,580,000K ÷ $8,544,000K
= 41.90%

The gross profit margin for Zoetis Inc has been relatively stable over the past eight quarters, ranging between 69.45% and 70.56%. The company has consistently maintained a high gross profit margin, with an average of approximately 70%. This indicates that Zoetis is efficiently managing its production costs and effectively pricing its products to generate strong profits from its core operations. The slight fluctuations in the gross profit margin over time may be due to factors such as changes in input costs or pricing strategies. Overall, Zoetis Inc's consistent and high gross profit margin reflects its strong position in the market and its ability to effectively generate profits from its core business activities.