Gross Margin % is calculated as gross profit divided by its revenue. Scholastic's Gross Profit for the
three
months ended in Feb. 2024 was $175 Mil. Scholastic's Revenue for the
three
months ended in Feb. 2024 was $324 Mil. Therefore, Scholastic's Gross Margin % for the quarter that ended in Feb. 2024 was 54.06%.
The historical rank and industry rank for Scholastic's Gross Margin % or its related term are showing as below:
SCHL'
s Gross Margin % Range Over the Past 10 Years
Min: 51.65 Med: 53.49 Max: 55.38
Current: 55.38
During the past 13 years, the highestGross Margin % of Scholastic was 55.38%. The lowest was 51.65%. And the median was 53.49%.
SCHL's Gross Margin % is ranked better than 71.27% of 964
companies
in the Media - Diversified industry
Industry Median: 38.675
vs SCHL: 55.38
Scholastic had a gross margin of 54.06% for the quarter that ended in Feb. 2024 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Scholastic was -0.10% per year.
Scholastic Gross Margin % Historical Data
The historical data trend for Scholastic'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.
For the Publishing subindustry, Scholastic'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.
Scholastic Gross Margin % Distribution
For the Media - Diversified industry and Communication Services sector, Scholastic's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Scholastic'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.
Scholastic (NAS:SCHL) 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
Scholastic had a gross margin of 54.06% for the quarter that ended in Feb. 2024 => 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.
Scholastic Gross Margin % Related Terms
Thank you for viewing the detailed overview of Scholastic's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.
Scholastic Corp is an American publishing and education media company that focuses on books and educational material for schools, teachers, parents, and children. The company is one of the world's largest publishers of children's books and also owns exclusive rights to various books, including Harry Potter and The Hunger Games. Some of the company's original titles include Clifford the Big Red Dog, Goosebumps, and The Magic School Bus. It has three reportable segments Children's Book Publishing and Distribution, Education Solutions and International. It majority of its revenue is from the Children's Book Publishing and Distribution segment.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
SCHL has been successfully added to your 