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United International Transportation Co (SAU:4260) Gross Margin % : 32.20% (As of Dec. 2023)


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What is United International Transportation Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. United International Transportation Co's Gross Profit for the three months ended in Dec. 2023 was ﷼119 Mil. United International Transportation Co's Revenue for the three months ended in Dec. 2023 was ﷼370 Mil. Therefore, United International Transportation Co's Gross Margin % for the quarter that ended in Dec. 2023 was 32.20%.


The historical rank and industry rank for United International Transportation Co's Gross Margin % or its related term are showing as below:

SAU:4260' s Gross Margin % Range Over the Past 10 Years
Min: 15.72   Med: 27.47   Max: 34.96
Current: 32.41


During the past 13 years, the highest Gross Margin % of United International Transportation Co was 34.96%. The lowest was 15.72%. And the median was 27.47%.

SAU:4260's Gross Margin % is ranked worse than
52.94% of 988 companies
in the Business Services industry
Industry Median: 34.315 vs SAU:4260: 32.41

United International Transportation Co had a gross margin of 32.20% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for United International Transportation Co was 5.00% per year.


United International Transportation Co Gross Margin % Historical Data

The historical data trend for United International Transportation Co'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.

United International Transportation Co Gross Margin % Chart

United International Transportation Co 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 28.50 31.15 33.75 34.96 32.41

United International Transportation Co Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 Premium Member Only Premium Member Only Premium Member Only 34.28 34.82 33.16 29.97 32.20

Competitive Comparison of United International Transportation Co's Gross Margin %

For the Rental & Leasing Services subindustry, United International Transportation Co'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.


United International Transportation Co's Gross Margin % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, United International Transportation Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where United International Transportation Co's Gross Margin % falls into.



United International Transportation Co Gross Margin % Calculation

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

United International Transportation Co'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 )
=446.6 / 1378.138
=(Revenue - Cost of Goods Sold) / Revenue
=(1378.138 - 931.5) / 1378.138
=32.41 %

United International Transportation Co'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 )
=119.1 / 369.808
=(Revenue - Cost of Goods Sold) / Revenue
=(369.808 - 250.724) / 369.808
=32.20 %

* 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.


United International Transportation Co  (SAU:4260) 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

United International Transportation Co had a gross margin of 32.20% for the quarter that ended in Dec. 2023 => 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.


United International Transportation Co Gross Margin % Related Terms

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United International Transportation Co (SAU:4260) Business Description

Traded in Other Exchanges
N/A
Address
6695 King Abdul Aziz Road, Unit No. 92, Al Basatin District, Jeddah, SAU, 23719-4327
United International Transportation Co Ltd operates as a car rental company in Saudi Arabia. The company operating segments include Lease, Rental, and others. It generates maximum revenue from the Lease segment. The company services include short- and long-term car rentals, chauffeur-driven services, corporate program, budget express cards, lodge and drive, limousine services and automotive maintenance.

United International Transportation Co (SAU:4260) Headlines

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