Italgas SpA gross margin has been in long-term decline. The average rate of decline per year is -2.1%.
The historical rank and industry rank for Italgas SpA's Gross Margin % or its related term are showing as below:
MIL:IG'
s Gross Margin % Range Over the Past 10 Years
Min: 59.36 Med: 64.03 Max: 71.61
Current: 71.61
During the past 8 years, the highestGross Margin % of Italgas SpA was 71.61%. The lowest was 59.36%. And the median was 64.03%.
MIL:IG's Gross Margin % is ranked better than 94.02% of 502
companies
in the Utilities - Regulated industry
Industry Median: 29.185
vs MIL:IG: 71.61
Italgas SpA had a gross margin of 59.40% for the quarter that ended in Jun. 2023 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Italgas SpA was -2.10% per year.
Italgas SpA Gross Margin % Historical Data
The historical data trend for Italgas SpA'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.
Competitive Comparison of Italgas SpA's Gross Margin %
For the Utilities - Regulated Gas subindustry, Italgas SpA'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.
Italgas SpA's Gross Margin % Distribution in the Utilities - Regulated Industry
For the Utilities - Regulated industry and Utilities sector, Italgas SpA's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Italgas SpA's Gross Margin % falls into.
* 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.
Italgas SpA (MIL:IG) 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
Italgas SpA had a gross margin of 59.40% for the quarter that ended in Jun. 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.
Italgas SpA Gross Margin % Related Terms
Thank you for viewing the detailed overview of Italgas SpA's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.
Italgas SpA is an Italy-based company engaged in the business of natural gas distribution. The distribution service consists of transporting gas through local pipeline networks, from points of delivery at the reduction and measurement stations interconnected with the transport networks up to the final delivery points to customers. In addition, the company is also engaged in metering activities, which consist of determining, gathering, making available, and archiving metering data on natural gas withdrawn over the distribution networks. It derives a majority of the revenue from natural gas distribution activity. The other activities of the company are the distribution and sale of water and providing technical, engineering, IT assistance, and other services.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
MIL:IG has been successfully added to your 