Ferguson Enterprises (CHIX:FERGL) Gross Margin % : 30.11% (As of Oct. 2024)

Ferguson Enterprises Gross Margin % Chart

Ferguson Enterprises Annual Data
	Trend	Jul15	Jul16	Jul17	Jul18	Jul19	Jul20	Jul21	Jul22	Jul23	Jul24
Gross Margin %		Get a 7-Day Free Trial					30.01	30.62	30.65	30.35	30.55

Ferguson Enterprises Quarterly Data
	Jul19	Jan20	Jul20	Oct20	Jan21	Apr21	Jul21	Oct21	Jan22	Apr22	Jul22	Oct22	Jan23	Apr23	Jul23	Oct23	Jan24	Apr24	Jul24	Oct24
Gross Margin %	Get a 7-Day Free Trial															30.24	30.41	30.54	30.97	30.11

Competitive Comparison of Ferguson Enterprises's Gross Margin %

For the Industrial Distribution subindustry, Ferguson Enterprises'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.

Ferguson Enterprises's Gross Margin % Distribution in the Industrial Distribution Industry

For the Industrial Distribution industry and Industrials sector, Ferguson Enterprises's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Ferguson Enterprises's Gross Margin % falls into.

Ferguson Enterprises Gross Margin % Calculation

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

Ferguson Enterprises's Gross Margin for the fiscal year that ended in Jul. 2024 is calculated as

Ferguson Enterprises's Gross Margin for the quarter that ended in Oct. 2024 is calculated as

* 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.

Ferguson Enterprises  (CHIX:FERGl) 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

Ferguson Enterprises had a gross margin of 30.11% for the quarter that ended in Oct. 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.

Ferguson Enterprises Gross Margin % Related Terms

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Ferguson Enterprises Business Description