GURUFOCUS.COM » STOCK LIST » Industrials » Construction » Taisei Corp (STU:TKK1) » Definitions » Gross Margin %

Taisei (STU:TKK1) Gross Margin % : 7.02% (As of Dec. 2023)


View and export this data going back to . Start your Free Trial

What is Taisei Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Taisei's Gross Profit for the three months ended in Dec. 2023 was €183 Mil. Taisei's Revenue for the three months ended in Dec. 2023 was €2,600 Mil. Therefore, Taisei's Gross Margin % for the quarter that ended in Dec. 2023 was 7.02%.

Warning Sign:

Taisei Corp gross margin has been in long-term decline. The average rate of decline per year is -10%.


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

STU:TKK1' s Gross Margin % Range Over the Past 10 Years
Min: 7.59   Med: 13.71   Max: 16.82
Current: 7.59


During the past 13 years, the highest Gross Margin % of Taisei was 16.82%. The lowest was 7.59%. And the median was 13.71%.

STU:TKK1's Gross Margin % is ranked worse than
83.31% of 1612 companies
in the Construction industry
Industry Median: 19.255 vs STU:TKK1: 7.59

Taisei had a gross margin of 7.02% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Taisei was -10.00% per year.


Taisei Gross Margin % Historical Data

The historical data trend for Taisei'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.

Taisei Gross Margin % Chart

Taisei Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.63 14.77 14.78 12.17 9.00

Taisei 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 10.74 7.56 4.47 10.69 7.02

Competitive Comparison of Taisei's Gross Margin %

For the Engineering & Construction subindustry, Taisei'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.


Taisei's Gross Margin % Distribution in the Construction Industry

For the Construction industry and Industrials sector, Taisei's Gross Margin % distribution charts can be found below:

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



Taisei Gross Margin % Calculation

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

Taisei's Gross Margin for the fiscal year that ended in Mar. 2023 is calculated as

Gross Margin % (A: Mar. 2023 )=Gross Profit (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=1032.6 / 11478.705
=(Revenue - Cost of Goods Sold) / Revenue
=(11478.705 - 10446.118) / 11478.705
=9.00 %

Taisei'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 )
=182.6 / 2599.711
=(Revenue - Cost of Goods Sold) / Revenue
=(2599.711 - 2417.115) / 2599.711
=7.02 %

* 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.


Taisei  (STU:TKK1) 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

Taisei had a gross margin of 7.02% for the quarter that ended in Dec. 2023 => No sustainable 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.


Taisei Gross Margin % Related Terms

Thank you for viewing the detailed overview of Taisei's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Taisei (STU:TKK1) Business Description

Traded in Other Exchanges
Address
Shinjuku Center Building, 1-25-1 Nishi-Shinjuku, Shinjuku-ku, Tokyo, JPN, 163-0606
Taisei Corp provides civil engineering and building development services in many different areas. It enters contracts to develop and enhance urbanization in designated regions. The company has four operating segments: civil engineering (majority of total revenue), building construction, real estate development, and other. It participates in all phases of project development, including planning, design, construction, and aftermarket services. Multiple projects are conducted simultaneously as the company showcases its expansive network and technical know-how. Taisei's projects range from traffic infrastructure and tunnels to airport facilities and high-rise building offices. Customers in Japan account for majority of total sales.

Taisei (STU:TKK1) Headlines

No Headlines