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Lighthouse Properties (JSE:LTE) Gross Margin % : 53.35% (As of Dec. 2023)


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What is Lighthouse Properties Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Lighthouse Properties's Gross Profit for the six months ended in Dec. 2023 was R489 Mil. Lighthouse Properties's Revenue for the six months ended in Dec. 2023 was R917 Mil. Therefore, Lighthouse Properties's Gross Margin % for the quarter that ended in Dec. 2023 was 53.35%.

Warning Sign:

Lighthouse Properties PLC gross margin has been in long-term decline. The average rate of decline per year is -9%.


The historical rank and industry rank for Lighthouse Properties's Gross Margin % or its related term are showing as below:

JSE:LTE' s Gross Margin % Range Over the Past 10 Years
Min: 52.99   Med: 74.48   Max: 87.95
Current: 52.99


During the past 8 years, the highest Gross Margin % of Lighthouse Properties was 87.95%. The lowest was 52.99%. And the median was 74.48%.

JSE:LTE's Gross Margin % is ranked better than
65.44% of 1655 companies
in the Real Estate industry
Industry Median: 36.34 vs JSE:LTE: 52.99

Lighthouse Properties had a gross margin of 53.35% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Lighthouse Properties was -9.00% per year.


Lighthouse Properties Gross Margin % Historical Data

The historical data trend for Lighthouse Properties's Gross Margin % 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.

Lighthouse Properties Gross Margin % Chart

Lighthouse Properties Annual Data
Trend Sep15 Sep16 Sep17 Sep18 Sep19 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial 87.95 74.27 67.71 58.82 52.99

Lighthouse Properties Semi-Annual Data
Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Gross Margin % Get a 7-Day Free Trial 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 66.10 65.78 52.96 52.60 53.35

Competitive Comparison of Lighthouse Properties's Gross Margin %

For the Real Estate Services subindustry, Lighthouse Properties's Gross Margin %, along with its competitors' market caps and Gross Margin % 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.


Lighthouse Properties's Gross Margin % Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Lighthouse Properties's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Lighthouse Properties's Gross Margin % falls into.



Lighthouse Properties Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Lighthouse Properties's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )=Gross Profit (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=937.6 / 1769.344
=(Revenue - Cost of Goods Sold) / Revenue
=(1769.344 - 831.75) / 1769.344
=52.99 %

Lighthouse Properties'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 )
=489.2 / 916.949
=(Revenue - Cost of Goods Sold) / Revenue
=(916.949 - 427.762) / 916.949
=53.35 %

* 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.


Lighthouse Properties  (JSE:LTE) Gross Margin % 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

Lighthouse Properties had a gross margin of 53.35% for the quarter that ended in Dec. 2023 => Durable competitive advantage


Be Aware

If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.


Lighthouse Properties Gross Margin % Related Terms

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Lighthouse Properties (JSE:LTE) Business Description

Traded in Other Exchanges
Address
IL-Piazzetta, Tower Road, 4th Floor, Office 41, Block A, Sliema, MLT, SLM 1605
Lighthouse Properties PLC is engaged in investing in direct property and infrastructure assets as well as in listed real estate and infrastructure securities. The firm operates in three segments: Listed infrastructure, Listed real estate, and Direct property out of which the Direct property segment accounts for the majority of revenue.

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