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Analog Devices (Analog Devices) Gross Profit

: $7,227 Mil (TTM As of Jan. 2024)
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Analog Devices's gross profit for the three months ended in Jan. 2024 was $1,474 Mil. Analog Devices's gross profit for the trailing twelve months (TTM) ended in Jan. 2024 was $7,227 Mil.

Gross Margin % is calculated as gross profit divided by its revenue. Analog Devices's gross profit for the three months ended in Jan. 2024 was $1,474 Mil. Analog Devices's Revenue for the three months ended in Jan. 2024 was $2,513 Mil. Therefore, Analog Devices's Gross Margin % for the quarter that ended in Jan. 2024 was 58.66%.

Analog Devices had a gross margin of 58.66% for the quarter that ended in Jan. 2024 => Durable competitive advantage

During the past 13 years, the highest Gross Margin % of Analog Devices was 68.28%. The lowest was 60.39%. And the median was 64.56%.

Warning Sign:

Analog Devices Inc gross margin has been in long-term decline. The average rate of decline per year is -1.7%.


Analog Devices Gross Profit Historical Data

The historical data trend for Analog Devices'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.

Analog Devices Annual Data
Trend Oct14 Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23
Gross Profit
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4,013.75 3,690.48 4,525.01 7,532.47 7,877.22

Analog Devices Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
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 2,124.34 2,144.55 1,961.62 1,646.72 1,473.94

Competitive Comparison

For the Semiconductors subindustry, Analog Devices'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.


Analog Devices Gross Profit Distribution

For the Semiconductors industry and Technology sector, Analog Devices's Gross Profit distribution charts can be found below:

* The bar in red indicates where Analog Devices's Gross Profit falls into.



Analog Devices Gross Profit Calculation

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

Analog Devices's Gross Profit for the fiscal year that ended in Oct. 2023 is calculated as

Gross Profit (A: Oct. 2023 )=Revenue - Cost of Goods Sold
=12305.539 - 4428.321
=7,877

Analog Devices's Gross Profit for the quarter that ended in Jan. 2024 is calculated as

Gross Profit (Q: Jan. 2024 )=Revenue - Cost of Goods Sold
=2512.704 - 1038.763
=1,474

Gross Profit for the trailing twelve months (TTM) ended in Jan. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $7,227 Mil.

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

Analog Devices's Gross Margin % for the quarter that ended in Jan. 2024 is calculated as

Gross Margin % (Q: Jan. 2024 )=Gross Profit (Q: Jan. 2024 ) / Revenue (Q: Jan. 2024 )
=(Revenue - Cost of Goods Sold) / Revenue
=1,474 / 2512.704
=58.66 %

* 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.


Analog Devices  (NAS:ADI) 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

Analog Devices had a gross margin of 58.66% for the quarter that ended in Jan. 2024 => Durable competitive advantage


Analog Devices Gross Profit Related Terms

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Analog Devices (Analog Devices) Business Description

Address
One Analog Way, Wilmington, MA, USA, 01887
Analog Devices is a leading analog, mixed signal, and digital signal processing chipmaker. The firm has a significant market share lead in converter chips, which are used to translate analog signals to digital and vice versa. The company serves tens of thousands of customers, and more than half of its chip sales are made to industrial and automotive end markets. Analog Devices' chips are also incorporated into wireless infrastructure equipment.
Executives
Vincent Roche officer: V.P., WORLDWIDE SALES
James Champy director C/O PEROT SYSTEMS CORP, 2300 WEST PLANO PKWY, PLANO TX 75075
Vivek Jain officer: SVP, Global Operations 120 SAN GABRIEL DRIVE, SUNNYVALE CA 94086
James Michael Mollica officer: Interim CFO C/O ANALOG DEVICES, INC., ONE ANALOG WAY, WILMINGTON MA 01887
Prashanth Mahendra-rajah officer: SVP, Finance & CFO C/O WABCO HOLDINGS INC., ONE CENTENNIAL AVENUE, PISCATAWAY NJ 08855
Kenton J Sicchitano director ONE TECHNOLOGY WAY, C/O ANALOG DEVICES, INC., NORWOOD MA 02062
Stephen M Jennings director LTX CORPORATION, UNIVERSITY AVE, WESTWOOD MA 02090
Edward H. Frank director C/O FUSION-IO, INC., 2855 E. COTTONWOOD PARKWAY, SUITE 100, SALT LAKE CITY UT 84121
Michael Sondel officer: CAO (principal acct. officer) ONE TECHNOLOGY WAY, NORWOOD MA 02062
Tunc Doluca director
Ray Stata director, officer: CHAIRMAN
Andre' Andonian director ONE ANALOG WAY, WILMINGTON MA 01887
Bruce R Evans director C/O SUMMIT PARTNERS, 222 BERKELEY STREET, 18TH FLOOR, BOSTON MA 02116
Gregory M Bryant officer: Executive Vice President 2200 MISSION COLLEGE BLVD, SANTA CLARA CA 95054
Mercedes Johnson director MICRON TECHNOLOGY, INC, 8000 S FEDERAL WAY, MS 1-557, BOISE ID 83716