Name: Gross Profit Margin

Definition: Gross profit margin shows how much profit the company keeps from each dollar of sales after covering the direct cost of making its products or delivering services. High margins suggest strong pricing power or efficient production. Shrinking margins might mean rising costs or tougher competition eating into profits.

Interpretation:
• In '2021', PETS's gross profit margin was 27.8%, showing profitability after production and operational costs. Industry average for Retail-Drug Stores and Proprietary Stores in '2021' stood at 19.0%.
• In '2022', PETS's gross profit margin was 28.3%, showing profitability after production and operational costs. The increase since '2021' reflects strengthening financial performance. Industry average for Retail-Drug Stores and Proprietary Stores in '2022' stood at 19.2%. Industry average increased by 0.2% compared to previous year.
• In '2023', PETS's gross profit margin was 27.6%, showing profitability after production and operational costs. The decline from '2022' may indicate some operational or financial challenges. Industry average for Retail-Drug Stores and Proprietary Stores in '2023' stood at 18.5%. Industry average declined by 0.7% from previous year.
• In '2024', PETS's gross profit margin was 28.0%, showing profitability after production and operational costs. The increase since '2023' reflects strengthening financial performance. Industry average for Retail-Drug Stores and Proprietary Stores in '2024' stood at 17.6%. Industry average declined by 0.9% from previous year.
Overall, PETS's gross profit margin has remained generally stable over the past 4 years.

Formula: Gross Profit Margin = (Revenue - COGS) / Revenue

Good Range: Often 20%-60% depending on industry.