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Vulcan Materials Co (Vulcan Materials Co) Gross Margin %

: 25.74% (As of Dec. 2023)
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Gross Margin % is calculated as gross profit divided by its revenue. Vulcan Materials Co's Gross Profit for the three months ended in Dec. 2023 was $472 Mil. Vulcan Materials Co's Revenue for the three months ended in Dec. 2023 was $1,834 Mil. Therefore, Vulcan Materials Co's Gross Margin % for the quarter that ended in Dec. 2023 was 25.74%.

Warning Sign:

Vulcan Materials Co gross margin has been in long-term decline. The average rate of decline per year is -1.8%.


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

VMC' s Gross Margin % Range Over the Past 10 Years
Min: 19.62   Med: 25.09   Max: 27.53
Current: 25.04


During the past 13 years, the highest Gross Margin % of Vulcan Materials Co was 27.53%. The lowest was 19.62%. And the median was 25.09%.

VMC's Gross Margin % is ranked better than
50.54% of 372 companies
in the Building Materials industry
Industry Median: 24.765 vs VMC: 25.04

Vulcan Materials Co had a gross margin of 25.74% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Vulcan Materials Co was -1.80% per year.


Vulcan Materials Co Gross Margin % Historical Data

The historical data trend for Vulcan Materials 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.

Vulcan Materials 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 25.48 26.39 24.74 21.29 25.04

Vulcan Materials 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 20.20 18.31 27.61 27.04 25.74

Competitive Comparison

For the Building Materials subindustry, Vulcan Materials 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.


Vulcan Materials Co Gross Margin % Distribution

For the Building Materials industry and Basic Materials sector, Vulcan Materials Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Vulcan Materials Co's Gross Margin % falls into.



Vulcan Materials Co Gross Margin % Calculation

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

Vulcan Materials 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 )
=1948.5 / 7781.9
=(Revenue - Cost of Goods Sold) / Revenue
=(7781.9 - 5833.4) / 7781.9
=25.04 %

Vulcan Materials 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 )
=472.2 / 1834.3
=(Revenue - Cost of Goods Sold) / Revenue
=(1834.3 - 1362.1) / 1834.3
=25.74 %

* 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.


Vulcan Materials Co  (NYSE:VMC) 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

Vulcan Materials Co had a gross margin of 25.74% 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.


Vulcan Materials Co Gross Margin % Related Terms

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


Vulcan Materials Co (Vulcan Materials Co) Business Description

Traded in Other Exchanges
Address
1200 Urban Center Drive, Birmingham, AL, USA, 35242
Vulcan Materials is the United States' largest producer of construction aggregates (crushed stone, sand, and gravel). Its largest markets include Texas, California, Virginia, Tennessee, Georgia, Florida, North Carolina, and Alabama. In 2022, Vulcan sold 263.4 million tons of aggregates, 12.2 million tons of asphalt mix, and 10.5 million cubic yards of ready-mix. As of Dec. 31, 2022, the company had nearly 16 billion tons of aggregates reserves.
Executives
Stanley G Bass officer: Chief Growth Officer 1200 URBAN CENTER DRIVE, BIRMINGHAM AL 35242
David P Clements officer: Senior Vice President, Central 1200 URBAN CENTER DRIVE, BIRMINGHAM AL 35242
Melissa H. Anderson director ALBEMARLE CORPORATION, 4250 CONGRESS ST. SUITE 900, CHARLOTTE NC 28209
J Thomas Hill officer: Sr VP - South Region 1200 URBAN CENTER DRIVE, BIRMINGHAM AL 35242
Randy L. Pigg officer: Vice President and Controller 1200 URBAN CENTER DRIVE, BIRMINGHAM AL 35242
Mary Andrews Carlisle officer: SVP and CFO 1200 URBAN CENTER DRIVE, BIRMINGHAM AL 35242
Lydia H Kennard director 155 N LAKE AVE, PASADENA CA 91101
Darren L. Hicks officer: Chief Human Resources Officer 1200 URBAN CENTER DRIVE, BIRMINGHAM AL 35242
Perkins Jerry F Jr officer: General Counsel and Secetary 1200 URBAN CENTER DRIVE, BIRMINGHAM AL 35242
Jason P Teter officer: President, S&GC Division 1200 URBAN CENTER DRIVE, BIRMINGHAM AL 35242
Ronnie A Pruitt officer: Senior Vice President C/O U.S. CONCRETE, INC., 331 N. MAIN STREET, EULESS TX 76039
David P Steiner director 1001 FANNIN ST, STE 4000, HOUSTON TX 77002
George Willis director 55 GLENLAKE PARKWAY, NE, ATLANTA GA 30328
Franklin Denson N. Iii officer: SVP & General Counsel 1200 URBAN CENTER DRIVE, BIRMINGHAM AL 35242
Michael R Mills officer: Senior Vice President and Gene 1200 URBAN CENTER DRIVE, BIRMINGHAM AL 35242

Vulcan Materials Co (Vulcan Materials Co) Headlines

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