Switch to:
GuruFocus has detected 6 Warning Signs with J&J Snack Foods Corp \$JJSF.
More than 500,000 people have already joined GuruFocus to track the stocks they follow and exchange investment ideas.
J&J Snack Foods Corp (NAS:JJSF)
COGS-to-Revenue
0.70 (As of Mar. 2017)

J&J Snack Foods Corp's cost of goods sold for the three months ended in Mar. 2017 was \$174 Mil. Its revenue for the three months ended in Mar. 2017 was \$247 Mil.

J&J Snack Foods Corp's COGS to Revenue for the three months ended in Mar. 2017 was 0.70.

Cost of Goods Sold is directly linked to profitability of the company through Gross Margin. J&J Snack Foods Corp's Gross Margin for the three months ended in Mar. 2017 was 29.54%.

Definition

J&J Snack Foods Corp's COGS to Revenue for the fiscal year that ended in Sep. 2016 is calculated as

 COGS to Revenue = Cost of Goods Sold / Revenue = 688.314 / 992.781 = 0.69

J&J Snack Foods Corp's COGS to Revenue for the quarter that ended in Mar. 2017 is calculated as

 COGS to Revenue = Cost of Goods Sold / Revenue = 173.696 / 246.513 = 0.70

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Explanation

Cost of Goods Sold is directly linked to profitability of the company through Gross Margin.

J&J Snack Foods Corp's Gross Margin for the three months ended in Mar. 2017 is calculated as:

 Gross Margin = 1 - COGS to Revenue = 1 - Cost of Goods Sold / Revenue = 1 - 173.696 / 246.513 = 29.54 %

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

A company that has a moat can usually maintain or even expand their Gross Margin. A company can increase its Gross Margin in two ways. It can increase the prices of the goods it sells and keeps its Cost of Goods Sold unchanged. Or it can keep the sales price unchanged and squeeze its suppliers to reduce the Cost of Goods Sold. Warren Buffett believes businesses with the power to raise prices have moats.

Related Terms

Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

J&J Snack Foods Corp Annual Data

 Sep07 Sep08 Sep09 Sep10 Sep11 Sep12 Sep13 Sep14 Sep15 Sep16 cogs2rev 0.67 0.70 0.68 0.67 0.69 0.70 0.70 0.69 0.69 0.69

J&J Snack Foods Corp Quarterly Data

 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 cogs2rev 0.71 0.70 0.68 0.68 0.71 0.70 0.67 0.70 0.71 0.70
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to \$400 per referral. ( Learn More)