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AYURF (Ayurcann Holdings) Gross Margin % : 38.25% (As of Sep. 2024)


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What is Ayurcann Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Ayurcann Holdings's Gross Profit for the three months ended in Sep. 2024 was $2.35 Mil. Ayurcann Holdings's Revenue for the three months ended in Sep. 2024 was $6.13 Mil. Therefore, Ayurcann Holdings's Gross Margin % for the quarter that ended in Sep. 2024 was 38.25%.


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

AYURF' s Gross Margin % Range Over the Past 10 Years
Min: 23.66   Med: 31.56   Max: 60.61
Current: 34.63


During the past 13 years, the highest Gross Margin % of Ayurcann Holdings was 60.61%. The lowest was 23.66%. And the median was 31.56%.

AYURF's Gross Margin % is ranked worse than
73% of 963 companies
in the Drug Manufacturers industry
Industry Median: 47.4 vs AYURF: 34.63

Ayurcann Holdings had a gross margin of 38.25% for the quarter that ended in Sep. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Ayurcann Holdings was 0.00% per year.


Ayurcann Holdings Gross Margin % Historical Data

The historical data trend for Ayurcann Holdings'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.

Ayurcann Holdings Gross Margin % Chart

Ayurcann Holdings Annual Data
Trend Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Jun21 Jun22 Jun23 Jun24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only - 60.61 23.67 29.46 33.65

Ayurcann Holdings Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 35.13 36.72 37.29 25.31 38.25

Competitive Comparison of Ayurcann Holdings's Gross Margin %

For the Drug Manufacturers - Specialty & Generic subindustry, Ayurcann 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.


Ayurcann Holdings's Gross Margin % Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Ayurcann Holdings's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Ayurcann Holdings's Gross Margin % falls into.



Ayurcann Holdings Gross Margin % Calculation

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

Ayurcann Holdings's Gross Margin for the fiscal year that ended in Jun. 2024 is calculated as

Gross Margin % (A: Jun. 2024 )=Gross Profit (A: Jun. 2024 ) / Revenue (A: Jun. 2024 )
=6.2 / 18.357
=(Revenue - Cost of Goods Sold) / Revenue
=(18.357 - 12.18) / 18.357
=33.65 %

Ayurcann Holdings's Gross Margin for the quarter that ended in Sep. 2024 is calculated as


Gross Margin % (Q: Sep. 2024 )=Gross Profit (Q: Sep. 2024 ) / Revenue (Q: Sep. 2024 )
=2.3 / 6.131
=(Revenue - Cost of Goods Sold) / Revenue
=(6.131 - 3.786) / 6.131
=38.25 %

* 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.


Ayurcann Holdings  (OTCPK:AYURF) 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

Ayurcann Holdings had a gross margin of 38.25% for the quarter that ended in Sep. 2024 => 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.


Ayurcann Holdings Gross Margin % Related Terms

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Ayurcann Holdings Business Description

Traded in Other Exchanges
Address
1080 Brock Road, Unit 6, Pickering, ON, CAN, L1W 3H3
Ayurcann Holdings Corp is engaged in providing post-harvest outsourcing solutions to licensed cannabis producers and the manufacture and distribution of cannabis products.