Thoratec's gross profit for the
three
months ended in Jun. 2015 was €79.1 Mil. Thoratec's gross profit for the trailing twelve months (TTM) ended in Jun. 2015 was €273.7 Mil.
Gross Margin % is calculated as gross profit divided by its revenue. Thoratec's gross profit for the
three
months ended in Jun. 2015 was €79.1 Mil. Thoratec's Revenue for the
three
months ended in Jun. 2015 was €114.7 Mil. Therefore, Thoratec's Gross Margin % for the quarter that ended in Jun. 2015 was 69.00%.
Thoratec had a gross margin of 69.00% for the quarter that ended in Jun. 2015 => Durable competitive advantage
During the past 13 years, the highestGross Margin % of Thoratec was 68.05%. The lowest was 58.04%. And the median was 60.24%.
Thoratec Gross Profit Historical Data
The historical data trend for Thoratec's Gross Profit 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.
For the Medical Devices subindustry, Thoratec's Gross Profit, along with its competitors' market caps and Gross Profit 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.
Thoratec's Gross Profit Distribution in the Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Thoratec's Gross Profit distribution charts can be found below:
* The bar in red indicates where Thoratec's Gross Profit falls into.
Thoratec Gross Profit Calculation
Gross Profit is the different between the sale prices and the cost of buying or producing the goods.
Thoratec's Gross Profit for the fiscal year that ended in Dec. 2014 is calculated as
Gross Profit for the trailing twelve months (TTM) ended in Jun. 2015 adds up the quarterly data reported by the company within the most recent 12 months, which was €273.7 Mil.
Gross Profit is the numerator in the calculation of Gross Margin.
* 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.
Thoratec (FRA:TL1) Gross Profit 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
Thoratec had a gross margin of 69.00% for the quarter that ended in Jun. 2015 => Durable competitive advantage
Thoratec Gross Profit Related Terms
Thank you for viewing the detailed overview of Thoratec's Gross Profit provided by GuruFocus.com. Please click on the following links to see related term pages.
Thoratec Corporation incorporated in the State of California in 1976 provides mechanical circulatory support with a product portfolio to treat the full range of clinical needs for advanced heart failure patients. It develops, manufactures and markets proprietary medical devices used for circulatory support. Following the sale of ITC in 2010, the Company has one operating segment: Cardiovascular group. This segment is organized and operates to develop and manufacture mechanical circulatory products to support the cardiovascular systems of humans. The Company's VAD products primarily serve patients suffering from late-stage HF. HF is a chronic disease that occurs when degeneration of the heart muscle reduces the pumping power of the heart, causing the heart to become too weak to pump blood at a level sufficient to meet the body's demands. Hospitals that perform open heart surgery and heart transplants are the potential customers for its Thoratec and HeartMate products. The Company estimates that it sells into 293 of these centers. According to the Company's estimates, it is in approximately 149 centers in the United States and 144 centers internationally. Competition from medical device companies and medical device divisions of healthcare companies, pharmaceutical companies and gene- and cell-based therapies is intense and is expected to increase. It therefore continues to expect new competitors both from the pharmacological and the medical device space. Among the medical device competitors are Aachen Innovative Solutions GmbH, AbioMed, Inc., Berlin Heart GmbH, HeartWare International Inc., Jarvik Heart, Inc., Maquet Cardiovascular, LLC (a division of Getinge AB), MicroMed Technology, Inc., Sun Medical Technology Research Corporation, SynCardia Systems, Inc., and Terumo Heart, Inc. All of the Company's proposed products will require regulatory approval prior to commercialization. In particular, medical devices are subject to rigorous pre-clinical testing as a condition of approval by the FDA and by similar authorities in foreign countries.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
FRA:TL1 has been successfully added to your 