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Salhia Real Estate Co KSCP (KUW:SRE) Gross Margin % : 75.39% (As of Mar. 2024)


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What is Salhia Real Estate Co KSCP Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Salhia Real Estate Co KSCP's Gross Profit for the three months ended in Mar. 2024 was KWD8.41 Mil. Salhia Real Estate Co KSCP's Revenue for the three months ended in Mar. 2024 was KWD11.16 Mil. Therefore, Salhia Real Estate Co KSCP's Gross Margin % for the quarter that ended in Mar. 2024 was 75.39%.


The historical rank and industry rank for Salhia Real Estate Co KSCP's Gross Margin % or its related term are showing as below:

KUW:SRE' s Gross Margin % Range Over the Past 10 Years
Min: 54.89   Med: 60.56   Max: 78.08
Current: 78.08


During the past 13 years, the highest Gross Margin % of Salhia Real Estate Co KSCP was 78.08%. The lowest was 54.89%. And the median was 60.56%.

KUW:SRE's Gross Margin % is ranked better than
87.43% of 1655 companies
in the Real Estate industry
Industry Median: 36.34 vs KUW:SRE: 78.08

Salhia Real Estate Co KSCP had a gross margin of 75.39% for the quarter that ended in Mar. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Salhia Real Estate Co KSCP was 7.90% per year.


Salhia Real Estate Co KSCP Gross Margin % Historical Data

The historical data trend for Salhia Real Estate Co KSCP'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.

Salhia Real Estate Co KSCP Gross Margin % Chart

Salhia Real Estate Co KSCP Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 58.15 54.89 76.89 75.45 77.01

Salhia Real Estate Co KSCP Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 Premium Member Only Premium Member Only Premium Member Only 70.58 74.47 81.78 80.91 75.39

Competitive Comparison of Salhia Real Estate Co KSCP's Gross Margin %

For the Real Estate Services subindustry, Salhia Real Estate Co KSCP'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.


Salhia Real Estate Co KSCP's Gross Margin % Distribution in the Real Estate Industry

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

* The bar in red indicates where Salhia Real Estate Co KSCP's Gross Margin % falls into.



Salhia Real Estate Co KSCP Gross Margin % Calculation

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

Salhia Real Estate Co KSCP'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 )
=31.3 / 40.588
=(Revenue - Cost of Goods Sold) / Revenue
=(40.588 - 9.331) / 40.588
=77.01 %

Salhia Real Estate Co KSCP's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=8.4 / 11.156
=(Revenue - Cost of Goods Sold) / Revenue
=(11.156 - 2.746) / 11.156
=75.39 %

* 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.


Salhia Real Estate Co KSCP  (KUW:SRE) 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

Salhia Real Estate Co KSCP had a gross margin of 75.39% for the quarter that ended in Mar. 2024 => 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.


Salhia Real Estate Co KSCP Gross Margin % Related Terms

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Salhia Real Estate Co KSCP (KUW:SRE) Business Description

Traded in Other Exchanges
N/A
Address
Mohammed Thunayan Al-Ghanim Street, P.O. Box 23413, Salhia Complex, Safat, Kuwait City, KWT, 13095
Salhia Real Estate Co KSC is engaged in real estate leasing and development of commercial properties and hotel operations in Kuwait and the United Kingdom. The company operates its business through three segments: Real Estate Operations, Hotel Operations, and Care Home Operations. Real Estate Operations being the highest revenue generator is engaged in the development and leasing of properties. Hotel Operations consist of the hotel hospitality services provided through JW Marriott Hotel - Kuwait; Courtyard Marriott Hotel-Kuwait; and Arraya Ballroom - Kuwait. Care Home Operations consist of care home activities provided by subsidiary companies. Its primary geographic markets are Kuwait & GCC and Europe.