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Caza Oil & Gas (LSE:CAZA) Gross Margin % : 32.71% (As of Dec. 2015)


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What is Caza Oil & Gas Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Caza Oil & Gas's Gross Profit for the three months ended in Dec. 2015 was £0.39 Mil. Caza Oil & Gas's Revenue for the three months ended in Dec. 2015 was £1.18 Mil. Therefore, Caza Oil & Gas's Gross Margin % for the quarter that ended in Dec. 2015 was 32.71%.

Warning Sign:

Caza Oil & Gas Inc gross margin has been in long term decline. The average rate of decline per year is -3.7%.


The historical rank and industry rank for Caza Oil & Gas's Gross Margin % or its related term are showing as below:

LSE:CAZA' s Gross Margin % Range Over the Past 10 Years
Min: 57.65   Med: 72.61   Max: 78.88
Current: 57.65


During the past 10 years, the highest Gross Margin % of Caza Oil & Gas was 78.88%. The lowest was 57.65%. And the median was 72.61%.

LSE:CAZA's Gross Margin % is not ranked
in the Oil & Gas industry.
Industry Median: 27.83 vs LSE:CAZA: 57.65

Caza Oil & Gas had a gross margin of 32.71% for the quarter that ended in Dec. 2015 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Caza Oil & Gas was -3.70% per year.


Caza Oil & Gas Gross Margin % Historical Data

The historical data trend for Caza Oil & Gas'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.

Caza Oil & Gas Gross Margin % Chart

Caza Oil & Gas Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only - 63.17 71.92 73.30 58.13

Caza Oil & Gas Quarterly Data
Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15
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 55.03 66.00 67.92 52.96 32.71

Competitive Comparison of Caza Oil & Gas's Gross Margin %

For the Oil & Gas E&P subindustry, Caza Oil & Gas'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.


Caza Oil & Gas's Gross Margin % Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Caza Oil & Gas's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Caza Oil & Gas's Gross Margin % falls into.



Caza Oil & Gas Gross Margin % Calculation

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

Caza Oil & Gas's Gross Margin for the fiscal year that ended in Dec. 2015 is calculated as

Gross Margin % (A: Dec. 2015 )=Gross Profit (A: Dec. 2015 ) / Revenue (A: Dec. 2015 )
=3.9 / 6.728
=(Revenue - Cost of Goods Sold) / Revenue
=(6.728 - 2.817) / 6.728
=58.13 %

Caza Oil & Gas's Gross Margin for the quarter that ended in Dec. 2015 is calculated as


Gross Margin % (Q: Dec. 2015 )=Gross Profit (Q: Dec. 2015 ) / Revenue (Q: Dec. 2015 )
=0.4 / 1.18
=(Revenue - Cost of Goods Sold) / Revenue
=(1.18 - 0.794) / 1.18
=32.71 %

* 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.


Caza Oil & Gas  (LSE:CAZA) 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

Caza Oil & Gas had a gross margin of 32.71% for the quarter that ended in Dec. 2015 => Competition eroding margins


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.


Caza Oil & Gas Gross Margin % Related Terms

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Caza Oil & Gas (LSE:CAZA) Business Description

Traded in Other Exchanges
N/A
Address
Caza Oil & Gas Inc is engaged in the exploration for and the development, production, and acquisition of, petroleum and natural gas reserves. The company primarily focuses on the Permian Basin of Southeast New Mexico and West Texas. Its exploration properties include Gramma Ridge, Gateway, Marathon Road, East Marathon Road, Lennox, Forehand Ranch, Forehand Ranch South, Jazzmaster, and others.

Caza Oil & Gas (LSE:CAZA) Headlines

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