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Ouro Finoude Animal Participacoes (BSP:OFSA3) Gross Margin % : 42.95% (As of Dec. 2023)


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What is Ouro Finoude Animal Participacoes Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Ouro Finoude Animal Participacoes's Gross Profit for the three months ended in Dec. 2023 was R$120.5 Mil. Ouro Finoude Animal Participacoes's Revenue for the three months ended in Dec. 2023 was R$280.6 Mil. Therefore, Ouro Finoude Animal Participacoes's Gross Margin % for the quarter that ended in Dec. 2023 was 42.95%.

Warning Sign:

Ouro Fino Saude Animal Participacoes SA gross margin has been in long-term decline. The average rate of decline per year is -2.5%.


The historical rank and industry rank for Ouro Finoude Animal Participacoes's Gross Margin % or its related term are showing as below:

BSP:OFSA3' s Gross Margin % Range Over the Past 10 Years
Min: 45.77   Med: 50.97   Max: 59.25
Current: 45.77


During the past 10 years, the highest Gross Margin % of Ouro Finoude Animal Participacoes was 59.25%. The lowest was 45.77%. And the median was 50.97%.

BSP:OFSA3's Gross Margin % is ranked worse than
52.22% of 990 companies
in the Drug Manufacturers industry
Industry Median: 46.74 vs BSP:OFSA3: 45.77

Ouro Finoude Animal Participacoes had a gross margin of 42.95% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Ouro Finoude Animal Participacoes was -2.50% per year.


Ouro Finoude Animal Participacoes Gross Margin % Historical Data

The historical data trend for Ouro Finoude Animal Participacoes'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.

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Ouro Finoude Animal Participacoes Gross Margin % Chart

Ouro Finoude Animal Participacoes 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 49.65 51.22 49.41 50.72 45.77

Ouro Finoude Animal Participacoes 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 51.09 44.90 46.49 48.69 42.95

Competitive Comparison of Ouro Finoude Animal Participacoes's Gross Margin %

For the Drug Manufacturers - Specialty & Generic subindustry, Ouro Finoude Animal Participacoes'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.


Ouro Finoude Animal Participacoes's Gross Margin % Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Ouro Finoude Animal Participacoes's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Ouro Finoude Animal Participacoes's Gross Margin % falls into.



Ouro Finoude Animal Participacoes Gross Margin % Calculation

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

Ouro Finoude Animal Participacoes'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 )
=431.7 / 943.281
=(Revenue - Cost of Goods Sold) / Revenue
=(943.281 - 511.548) / 943.281
=45.77 %

Ouro Finoude Animal Participacoes'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 )
=120.5 / 280.596
=(Revenue - Cost of Goods Sold) / Revenue
=(280.596 - 160.083) / 280.596
=42.95 %

* 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.


Ouro Finoude Animal Participacoes  (BSP:OFSA3) 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

Ouro Finoude Animal Participacoes had a gross margin of 42.95% 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.


Ouro Finoude Animal Participacoes Gross Margin % Related Terms

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


Ouro Finoude Animal Participacoes (BSP:OFSA3) Business Description

Traded in Other Exchanges
N/A
Address
Anhanguera Highway SP 330, Km 298, Industrial District, Cravinhos, SP, BRA, 14140-000
Ouro Fino Saude Animal Participacoes SA is engaged in the production and sale of veterinary drugs, vaccines, and other products for cattle, pigs, poultry, sheep, horses and goats and pets. The company reportable segments are Production animals, Companion animals, and International operations. It generates maximum revenue from the Production animals segment. The product portfolio includes Anticoccidials, Antimicrobials, Biological, Ectoparasiticides, Endectocides, Fortifiers / Supplements, and others.

Ouro Finoude Animal Participacoes (BSP:OFSA3) Headlines

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