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Western Digital (Western Digital) Gross Profit

: $969 Mil (TTM As of Dec. 2023)
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Western Digital's gross profit for the three months ended in Dec. 2023 was $492 Mil. Western Digital's gross profit for the trailing twelve months (TTM) ended in Dec. 2023 was $969 Mil.

Gross Margin % is calculated as gross profit divided by its revenue. Western Digital's gross profit for the three months ended in Dec. 2023 was $492 Mil. Western Digital's Revenue for the three months ended in Dec. 2023 was $3,032 Mil. Therefore, Western Digital's Gross Margin % for the quarter that ended in Dec. 2023 was 16.23%.

Western Digital had a gross margin of 16.23% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

During the past 13 years, the highest Gross Margin % of Western Digital was 37.32%. The lowest was 8.61%. And the median was 27.77%.

Warning Sign:

Western Digital Corp gross margin has been in long-term decline. The average rate of decline per year is -9%.


Western Digital Gross Profit Historical Data

The historical data trend for Western Digital's Gross Profit can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Western Digital Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Gross Profit
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3,752.00 3,781.00 4,521.00 5,874.00 1,887.00

Western Digital Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Gross Profit Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 528.00 286.00 92.00 99.00 492.00

Competitive Comparison

For the Computer Hardware subindustry, Western Digital's Gross Profit, along with its competitors' market caps and Gross Profit data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Western Digital Gross Profit Distribution

For the Hardware industry and Technology sector, Western Digital's Gross Profit distribution charts can be found below:

* The bar in red indicates where Western Digital's Gross Profit falls into.



Western Digital Gross Profit Calculation

Gross Profit is the different between the sale prices and the cost of buying or producing the goods.

Western Digital's Gross Profit for the fiscal year that ended in Jun. 2023 is calculated as

Gross Profit (A: Jun. 2023 )=Revenue - Cost of Goods Sold
=12318 - 10431
=1,887

Western Digital's Gross Profit for the quarter that ended in Dec. 2023 is calculated as

Gross Profit (Q: Dec. 2023 )=Revenue - Cost of Goods Sold
=3032 - 2540
=492

Gross Profit for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $969 Mil.

Gross Profit is the numerator in the calculation of Gross Margin.

Western Digital's Gross Margin % for the quarter that ended in Dec. 2023 is calculated as

Gross Margin % (Q: Dec. 2023 )=Gross Profit (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=(Revenue - Cost of Goods Sold) / Revenue
=492 / 3032
=16.23 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.


Western Digital  (NAS:WDC) Gross Profit Explanation

Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.

Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %

1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key

Western Digital had a gross margin of 16.23% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage


Western Digital Gross Profit Related Terms

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Western Digital (Western Digital) Business Description

Address
5601 Great Oaks Parkway, San Jose, CA, USA, 95119
Western Digital is a leading vertically integrated supplier of data storage solutions, spanning both hard disk drives and solid-state drives. In the HDD market it forms a practical duopoly with Seagate, and it is the largest global producer of NAND flash chips for SSDs in a joint venture with competitor Kioxia.
Executives
Robert Soderbery officer: EVP & GM, Flash Business C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Gene M. Zamiska officer: Principal Accounting Officer C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Reed B Rayman director 6775 LENOX CENTER COURT, SUITE 400, MEMPHIS TN 38115
David Goeckeler director, officer: Chief Executive Officer C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Wissam G Jabre officer: EVP & CFO C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Paula A Price director ONE CVS DRIVE, WOONSOCKET RI 02895
Miyuki Suzuki director C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Thomas Caulfield director C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Lori S Sundberg officer: EVP & Chief Human Res Officer 400 NORTH FIFTH STREET, PHOENIX AZ 85004
Michael Charles Ray officer: Sr. VP, Gen Cnsl & Secretary C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Sean Hunkler officer: EVP, Global Operations C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Michael D Cordano officer: President, HGST Subsidiary C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Stephen D Milligan officer: Sr. V.P. & CFO C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Matthew E Massengill director, officer: Chairman and CEO C/O WESTERN DIGITAL CORPORATION, 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119
Robert K Eulau officer: EVP & CFO 5601 GREAT OAKS PARKWAY, SAN JOSE CA 95119