ESWW (Environmental Solutions Worldwide) Gross Margin %: 48.50% (As of Dec. 2014)


What is Environmental Solutions Worldwide Gross Margin %?

Environmental Solutions Worldwide ESWW Gross Margin % is 48.50% as of Dec. 2014.

Gross Margin % is calculated as gross profit divided by its revenue. Environmental Solutions Worldwide's Gross Profit for the three months ended in Dec. 2014 was $2.52 Mil. Environmental Solutions Worldwide's Revenue for the three months ended in Dec. 2014 was $5.20 Mil. Therefore, Environmental Solutions Worldwide's Gross Margin % for the quarter that ended in Dec. 2014 was 48.50%.


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


ESWW's Gross Margin % is not ranked *
in the Vehicles & Parts industry.
Industry Median: 19.84
* Ranked among companies with meaningful Gross Margin % only.

Environmental Solutions Worldwide had a gross margin of 48.50% for the quarter that ended in Dec. 2014 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Environmental Solutions Worldwide was 0.00% per year.


Environmental Solutions Worldwide  (OTCPK:ESWW) 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

Environmental Solutions Worldwide had a gross margin of 48.50% for the quarter that ended in Dec. 2014 => 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.


Environmental Solutions Worldwide Gross Margin % Related Terms


Environmental Solutions Worldwide Gross Margin % Historical Data

* Premium members only.

The historical data trend for Environmental Solutions Worldwide'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.

Environmental Solutions Worldwide Gross Margin % Chart

Environmental Solutions Worldwide Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.43 18.28 34.07 36.58 48.54

Environmental Solutions Worldwide Quarterly Data
Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14
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 53.53 50.89 47.82 46.54 48.50

ESWW vs STCC, FNHI, PFTI: Gross Margin % Comparison

For the Auto Parts subindustry, Environmental Solutions Worldwide'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.


Environmental Solutions Worldwide Gross Margin % vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Environmental Solutions Worldwide's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Environmental Solutions Worldwide's Gross Margin % falls into.



Environmental Solutions Worldwide Gross Margin % Calculation

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

Environmental Solutions Worldwide's Gross Margin for the fiscal year that ended in Dec. 2014 is calculated as

Gross Margin % (A: Dec. 2014 )=Gross Profit (A: Dec. 2014 ) / Revenue (A: Dec. 2014 )
=12.4 / 25.476
=(Revenue - Cost of Goods Sold) / Revenue
=(25.476 - 13.109) / 25.476
=48.54 %

Environmental Solutions Worldwide's Gross Margin for the quarter that ended in Dec. 2014 is calculated as


Gross Margin % (Q: Dec. 2014 )=Gross Profit (Q: Dec. 2014 ) / Revenue (Q: Dec. 2014 )
=2.5 / 5.2
=(Revenue - Cost of Goods Sold) / Revenue
=(5.2 - 2.678) / 5.2
=48.50 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 48.50% mean?
Environmental Solutions Worldwide (ESWW) has a Gross Margin % of 48.50% as of Dec. 2014. Gross margin is the ratio of total gross profit to net sales. View historical data on Environmental Solutions Worldwide and its competitors.
Is Environmental Solutions Worldwide's Gross Margin % too high?
Environmental Solutions Worldwide's current Gross Margin % is 48.50%. The Vehicles & Parts industry median Gross Margin % is 19.84. Environmental Solutions Worldwide's value of 48.50% is 144.5% above this industry median.
How does Environmental Solutions Worldwide's Gross Margin % compare to STCC and FNHI?
Environmental Solutions Worldwide's Gross Margin % of 48.50% can be compared against companies in the Vehicles & Parts industry. The industry median Gross Margin % is 19.84. Environmental Solutions Worldwide's value of 48.50% is 144.5% 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 Vehicles & Parts company?
The median Gross Margin % among Vehicles & Parts companies is 19.84, based on 1,313 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. Environmental Solutions Worldwide's current Gross Margin % of 48.50% is 144.5% 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 Environmental Solutions Worldwide and its competitors. For the Vehicles & Parts industry, the median Gross Margin % is 19.84 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Environmental Solutions Worldwide's current Gross Margin % is 48.50%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Environmental Solutions Worldwide stock overvalued right now?
Environmental Solutions Worldwide (ESWW) has a current Gross Margin % of 48.50%. The current Gross Margin % is 48.50% and 144.5% above the Vehicles & Parts industry median of 19.84. 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 Environmental Solutions Worldwide (ESWW), the current Gross Margin % is 48.50% as of Dec. 2014. 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.

Environmental Solutions Worldwide Business Description

Address 200 Progress Drive, Montgomerville, PA, USA, 18936
Environmental Solutions Worldwide Inc through its subsidiaries is involved in the designing, development, manufacturing, and sales of emissions control technologies. It also provides emissions testing and environmental certification services. The firm's products include horizondpf, longview dpf, and vista dpf. It has Air testing services and MHDD diesel emission control manufacturing and sales operating segments. The company derives the majority of its revenues from MHDD diesel control segment.