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Air Water (Air Water) Gross Margin % : 21.93% (As of Dec. 2023)


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What is Air Water Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Air Water's Gross Profit for the three months ended in Dec. 2023 was $408 Mil. Air Water's Revenue for the three months ended in Dec. 2023 was $1,859 Mil. Therefore, Air Water's Gross Margin % for the quarter that ended in Dec. 2023 was 21.93%.


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

AWTRF' s Gross Margin % Range Over the Past 10 Years
Min: 19.08   Med: 21.79   Max: 22.43
Current: 20.88


During the past 13 years, the highest Gross Margin % of Air Water was 22.43%. The lowest was 19.08%. And the median was 21.79%.

AWTRF's Gross Margin % is ranked worse than
53.35% of 1509 companies
in the Chemicals industry
Industry Median: 22.32 vs AWTRF: 20.88

Air Water had a gross margin of 21.93% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Air Water was -0.90% per year.


Air Water Gross Margin % Historical Data

The historical data trend for Air Water'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.

Air Water Gross Margin % Chart

Air Water 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 22.21 22.32 22.43 22.41 19.91

Air Water 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 19.56 18.95 20.80 22.00 21.93

Competitive Comparison of Air Water's Gross Margin %

For the Specialty Chemicals subindustry, Air Water'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.


Air Water's Gross Margin % Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Air Water's Gross Margin % distribution charts can be found below:

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



Air Water Gross Margin % Calculation

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

Air Water'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 )
=1496.9 / 7518.193
=(Revenue - Cost of Goods Sold) / Revenue
=(7518.193 - 6021.279) / 7518.193
=19.91 %

Air Water'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 )
=407.7 / 1859.218
=(Revenue - Cost of Goods Sold) / Revenue
=(1859.218 - 1451.541) / 1859.218
=21.93 %

* 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.


Air Water  (OTCPK:AWTRF) 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

Air Water had a gross margin of 21.93% 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.


Air Water Gross Margin % Related Terms

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Air Water (Air Water) Business Description

Traded in Other Exchanges
Address
12-8, Minami Semba 2-chome, Chuo-ku, Osaka, JPN, 542-0081
Air Water Inc manufactures and sells a variety of chemicals and chemical-based products. The firm organizes itself into five primary segments based on product type. The industrial gas segment, which generates the most revenue of any segment, sells gases including oxygen used in blast furnaces to produce steel. The chemical business sells coal and fine chemicals to the agricultural and pharmaceutical industries. The medical segment sells medical gases and sterilization equipment to hospitals and home-care facilities. The agricultural and food products segment sells delicatessen meat, frozen foods, and fruit and vegetable juices. The energy segment sells natural gas.

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