ETCC (Environmental Tectonics) Gross Margin %: 26.49% (As of May. 2025)

Environmental Tectonics  (OTCPK:ETCC) 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 Tectonics had a gross margin of 26.49% for the quarter that ended in May. 2025 => 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.

Environmental Tectonics Gross Margin % Related Terms

The historical data trend for Environmental Tectonics'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 Tectonics Gross Margin % Chart

Environmental Tectonics Annual Data
	Trend	Feb05	Feb06	Feb07	Feb08	Feb09	Feb10	Feb11	Feb12	Feb22	Feb23
Gross Margin %		Get a 7-Day Free Trial					44.53	39.30	35.49	22.57	24.92

Environmental Tectonics Quarterly Data
	Aug09	Nov09	Feb10	May10	Aug10	Nov10	Feb11	May11	Aug11	Nov11	Feb12	May12	Aug12	Nov12	Feb22	Aug22	Feb23	Aug23	May24	May25
Gross Margin %	Get a 7-Day Free Trial															24.19	0.00	25.40	33.55	26.49

ETCC vs XERI, DUKR, PRZO: Gross Margin % Comparison

For the Aerospace & Defense subindustry, Environmental Tectonics'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 Tectonics Gross Margin % vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Environmental Tectonics's Gross Margin % distribution charts can be found below:

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

Environmental Tectonics Gross Margin % Calculation

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

Environmental Tectonics's Gross Margin for the fiscal year that ended in Feb. 2023 is calculated as

Environmental Tectonics's Gross Margin for the quarter that ended in May. 2025 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.

Environmental Tectonics Business Description