The historical rank and industry rank for Regional Express Holdings's Gross Margin % or its related term are showing as below:
ASX:REX's Gross Margin % is not ranked *
in the Transportation industry.
Industry Median: 20.42 * Ranked among companies with meaningful Gross Margin % only.
Regional Express Holdings had a gross margin of 55.32% for the quarter that ended in Dec. 2023 => Durable competitive advantage
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
Regional Express Holdings had a gross margin of 55.32% for the quarter that ended in Dec. 2023 => 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.
Regional Express Holdings Gross Margin % Related Terms
Regional Express Holdings Gross Margin % Historical Data
* 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.
ASX:REX vs DAL, LUV, UAL: Gross Margin % Comparison
For the Airlines subindustry, Regional Express Holdings'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.
Regional Express Holdings Gross Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, Regional Express Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Regional Express Holdings'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.
Regional Express Holdings (ASX:REX) has a Gross Margin % of 55.32% as of Dec. 2023. Gross margin is the ratio of total gross profit to net sales. View historical data on Regional Express Holdings and its competitors.
Is Regional Express Holdings' Gross Margin % too high?
Regional Express Holdings' current Gross Margin % is 55.32%. The Transportation industry median Gross Margin % is 20.42. Regional Express Holdings' value of 55.32% is 170.9% above this industry median. Overall, Regional Express Holdings has a GF Score™ of 4/100, reflecting its overall financial health beyond just this single metric.
How does Regional Express Holdings' Gross Margin % compare to DAL and LUV?
Regional Express Holdings' Gross Margin % of 55.32% can be compared against companies in the Transportation industry. The industry median Gross Margin % is 20.42. Regional Express Holdings' value of 55.32% is 170.9% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Transportation company?
The median Gross Margin % among Transportation companies is 20.42, based on 985 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Regional Express Holdings's current Gross Margin % of 55.32% is 170.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Regional Express Holdings and its competitors. For the Transportation industry, the median Gross Margin % is 20.42 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Regional Express Holdings's current Gross Margin % is 55.32%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Regional Express Holdings stock overvalued right now?
Regional Express Holdings (ASX:REX) has a current Gross Margin % of 55.32%. The current Gross Margin % is 55.32% and 170.9% above the Transportation industry median of 20.42. Regional Express Holdings' overall GF Score™ is 4/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Regional Express Holdings (ASX:REX), the current Gross Margin % is 55.32% as of Dec. 2023. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Regional Express Holdings Ltd is an Australian-based airline company. The company is engaged in the provision of air services for the transportation of passengers and freight. Its operating segment includes Regular public transport, Charter and other, and Training. The company generates maximum revenue from the Regular public transport segment. Some of its services include Web Check-in; Print Invoices; Safe Hand Baggage; Travel Insurance and others.
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