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Apollo Education Group (Apollo Education Group) Gross Margin % : 48.66% (As of Nov. 2016)


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What is Apollo Education Group Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Apollo Education Group's Gross Profit for the three months ended in Nov. 2016 was $236 Mil. Apollo Education Group's Revenue for the three months ended in Nov. 2016 was $484 Mil. Therefore, Apollo Education Group's Gross Margin % for the quarter that ended in Nov. 2016 was 48.66%.


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


APOL's Gross Margin % is not ranked *
in the Education industry.
Industry Median: 47.89
* Ranked among companies with meaningful Gross Margin % only.

Apollo Education Group had a gross margin of 48.66% for the quarter that ended in Nov. 2016 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Apollo Education Group was 0.00% per year.


Apollo Education Group Gross Margin % Historical Data

The historical data trend for Apollo Education Group'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.

Apollo Education Group Gross Margin % Chart

Apollo Education Group Annual Data
Trend Aug07 Aug08 Aug09 Aug10 Aug11 Aug12 Aug13 Aug14 Aug15 Aug16
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 57.63 57.29 57.18 52.95 47.80

Apollo Education Group Quarterly Data
Feb12 May12 Aug12 Nov12 Feb13 May13 Aug13 Nov13 Feb14 May14 Aug14 Nov14 Feb15 May15 Aug15 Nov15 Feb16 May16 Aug16 Nov16
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 50.29 41.84 50.81 47.06 48.66

Competitive Comparison of Apollo Education Group's Gross Margin %

For the Education & Training Services subindustry, Apollo Education Group'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.


Apollo Education Group's Gross Margin % Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Apollo Education Group's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Apollo Education Group's Gross Margin % falls into.



Apollo Education Group Gross Margin % Calculation

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

Apollo Education Group's Gross Margin for the fiscal year that ended in Aug. 2016 is calculated as

Gross Margin % (A: Aug. 2016 )=Gross Profit (A: Aug. 2016 ) / Revenue (A: Aug. 2016 )
=1004.7 / 2101.85
=(Revenue - Cost of Goods Sold) / Revenue
=(2101.85 - 1097.155) / 2101.85
=47.80 %

Apollo Education Group's Gross Margin for the quarter that ended in Nov. 2016 is calculated as


Gross Margin % (Q: Nov. 2016 )=Gross Profit (Q: Nov. 2016 ) / Revenue (Q: Nov. 2016 )
=235.7 / 484.499
=(Revenue - Cost of Goods Sold) / Revenue
=(484.499 - 248.753) / 484.499
=48.66 %

* 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.


Apollo Education Group  (NAS:APOL) 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

Apollo Education Group had a gross margin of 48.66% for the quarter that ended in Nov. 2016 => 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.


Apollo Education Group Gross Margin % Related Terms

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


Apollo Education Group (Apollo Education Group) Business Description

Traded in Other Exchanges
N/A
Address
Apollo Education Group Inc was incorporated in Arizona in 1981. It offers educational programs and services, online and on-campus at the undergraduate, master's and doctoral levels. Its learning platforms include the following The University of Phoenix, Inc., Apollo Global, Inc. which also includes BPP Holdings Limited, Universidad Latinoamericana, Universidad de Artes, Ciencias y Comunicación, and Indian Education Services Private Ltd., Western International University, Inc., Institute for Professional Development, The College for Financial Planning Institutes Corporation, Carnegie Learning, Inc., and Apollo Lightspeed. Its institutions offer Accredited Degree Programs, Professional Examinations Training and Professional Development, and Employers. The Company's international operations include full-time and part-time courses, delivered on-campus or online, for professional examination preparation, professional development training and various degree/certificate/diploma programs. It competes mainly with traditional public and private two-year and four-year degree-granting regionally accredited colleges and universities, other proprietary degree-granting regionally accredited schools and alternatives to higher education. Its domestic postsecondary institutions are subject to extensive federal and state regulations.
Executives
Sean Martin officer: SVP, General Counsel ONE BAXTER PARKWAY, DEERFIELD IL 60015
Ann Kirschner director 650 FROM ROAD, SUITE 375, PARAMUS NJ 07652
Richard H Dozer director VIAD CORP, 7000 E. 1ST AVENUE, SCOTTSDALE AZ 85251
Robert S Murley director 4025 S. RIVERPOINT PARKWAY, M/S CF-K815, PHOENIX AZ 85040
James Mitchell Bowling officer: SVP, COO 4025 S RIVERPOINT PKWY MS CF-K808 PHOENIX AZ 85040
Terri C Bishop director, officer: Vice Chairman 4025 S RIVERPOINT PKWY, PHOENIX AZ 85040
Peter V Sperling director, officer: Chairman of the Board 4615 E ELWOOD, PHOENIX AZ 85040
Darby E Shupp director 4025 S RIVERPOINT PKWY, M/S CF-X01, PHOENIX AZ 85040
Gregory James Iverson officer: SVP, CFO, CAO & Treasurer 4025 S. RIVERPOINT PARKWAY, CF-K809, PHOENIX AZ 85040
Herberger Roy A Jr director 400 E VAN BUREN ST, PO BOX 52132, PHOENIX AZ 85072-2132
Matthew Jr Carter director 550 W ADAMS, STE 900, CHICAGO IL 60661
Manuel Felix Rivelo director 2312 MAGNOLIA BLVD. WEST, SEATTLE WA 98199
Brian L Swartz officer: SVP & CFO 4025 S RIVERPOINT PKWY MAIL-STOP CF-KX04 PHOENIX AZ 85040
P Robert Moya officer: EVP, Special Projects 4025 S RIVERPOINT PKWY, MS CF-KX01, PHOENIX AZ 85040
Di Piazza Samuel A Jr. director 100 BROOKWOOD PLACE, BIRMINGHAM AL 35209

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