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Farmaceutica Remedia (BSE:RMAH) Gross Margin % : 7.87% (As of Sep. 2024)


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What is Farmaceutica Remedia Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Farmaceutica Remedia's Gross Profit for the three months ended in Sep. 2024 was lei14.8 Mil. Farmaceutica Remedia's Revenue for the three months ended in Sep. 2024 was lei188.1 Mil. Therefore, Farmaceutica Remedia's Gross Margin % for the quarter that ended in Sep. 2024 was 7.87%.

Warning Sign:

Farmaceutica Remedia SA gross margin has been in long-term decline. The average rate of decline per year is -7.2%.


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

BSE:RMAH' s Gross Margin % Range Over the Past 10 Years
Min: 7.19   Med: 10.87   Max: 13.75
Current: 7.19


During the past 13 years, the highest Gross Margin % of Farmaceutica Remedia was 13.75%. The lowest was 7.19%. And the median was 10.87%.

BSE:RMAH's Gross Margin % is ranked worse than
90.65% of 107 companies
in the Medical Distribution industry
Industry Median: 17.42 vs BSE:RMAH: 7.19

Farmaceutica Remedia had a gross margin of 7.87% for the quarter that ended in Sep. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Farmaceutica Remedia was -7.20% per year.


Farmaceutica Remedia Gross Margin % Historical Data

The historical data trend for Farmaceutica Remedia'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.

Farmaceutica Remedia Gross Margin % Chart

Farmaceutica Remedia 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 11.17 10.57 7.97 8.29 7.72

Farmaceutica Remedia 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 8.98 6.58 7.12 7.14 7.87

Competitive Comparison of Farmaceutica Remedia's Gross Margin %

For the Medical Distribution subindustry, Farmaceutica Remedia'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.


Farmaceutica Remedia's Gross Margin % Distribution in the Medical Distribution Industry

For the Medical Distribution industry and Healthcare sector, Farmaceutica Remedia's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Farmaceutica Remedia's Gross Margin % falls into.



Farmaceutica Remedia Gross Margin % Calculation

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

Farmaceutica Remedia'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 )
=45.8 / 593.359
=(Revenue - Cost of Goods Sold) / Revenue
=(593.359 - 547.528) / 593.359
=7.72 %

Farmaceutica Remedia'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 )
=14.8 / 188.131
=(Revenue - Cost of Goods Sold) / Revenue
=(188.131 - 173.322) / 188.131
=7.87 %

* 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.


Farmaceutica Remedia  (BSE:RMAH) 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

Farmaceutica Remedia had a gross margin of 7.87% for the quarter that ended in Sep. 2024 => No sustainable 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.


Farmaceutica Remedia Gross Margin % Related Terms

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


Farmaceutica Remedia Business Description

Traded in Other Exchanges
N/A
Address
No. 2 Nicolae Balcescu Boulevard, Hunedoara County, Deva, ROU, 330040
Farmaceutica Remedia SA is engaged in drug sales activities, marketing, and health products. It provides marketing and promotion services for medicines. The company offers services offered, including logistics services, medical marketing, and promotion, and pharmaceutical registrations, but also professionalism and performance differentiate the company from other competitors and position it as a partner for launching, promoting, and distributing pharmaceutical products in Romania and other countries in Eastern Europe.

Farmaceutica Remedia Headlines

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