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BOC Aviation (FRA:8BO) Gross Margin % : 27.76% (As of Jun. 2024)


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What is BOC Aviation Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. BOC Aviation's Gross Profit for the six months ended in Jun. 2024 was €280 Mil. BOC Aviation's Revenue for the six months ended in Jun. 2024 was €1,008 Mil. Therefore, BOC Aviation's Gross Margin % for the quarter that ended in Jun. 2024 was 27.76%.

Warning Sign:

BOC Aviation Ltd gross margin has been in long-term decline. The average rate of decline per year is -6.5%.


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

FRA:8BO' s Gross Margin % Range Over the Past 10 Years
Min: 26.39   Med: 39.46   Max: 41.9
Current: 26.64


During the past 12 years, the highest Gross Margin % of BOC Aviation was 41.90%. The lowest was 26.39%. And the median was 39.46%.

FRA:8BO's Gross Margin % is ranked worse than
62.53% of 998 companies
in the Business Services industry
Industry Median: 34.285 vs FRA:8BO: 26.64

BOC Aviation had a gross margin of 27.76% for the quarter that ended in Jun. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for BOC Aviation was -6.50% per year.


BOC Aviation Gross Margin % Historical Data

The historical data trend for BOC Aviation'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.

BOC Aviation Gross Margin % Chart

BOC Aviation 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 39.30 35.97 34.02 36.37 26.39

BOC Aviation Semi-Annual Data
Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
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 43.35 28.30 27.35 25.53 27.76

Competitive Comparison of BOC Aviation's Gross Margin %

For the Rental & Leasing Services subindustry, BOC Aviation'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.


BOC Aviation's Gross Margin % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, BOC Aviation's Gross Margin % distribution charts can be found below:

* The bar in red indicates where BOC Aviation's Gross Margin % falls into.



BOC Aviation Gross Margin % Calculation

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

BOC Aviation'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 )
=500.8 / 1897.24
=(Revenue - Cost of Goods Sold) / Revenue
=(1897.24 - 1396.472) / 1897.24
=26.39 %

BOC Aviation's Gross Margin for the quarter that ended in Jun. 2024 is calculated as


Gross Margin % (Q: Jun. 2024 )=Gross Profit (Q: Jun. 2024 ) / Revenue (Q: Jun. 2024 )
=279.8 / 1008.063
=(Revenue - Cost of Goods Sold) / Revenue
=(1008.063 - 728.236) / 1008.063
=27.76 %

* 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.


BOC Aviation  (FRA:8BO) 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

BOC Aviation had a gross margin of 27.76% for the quarter that ended in Jun. 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.


BOC Aviation Gross Margin % Related Terms

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BOC Aviation Business Description

Traded in Other Exchanges
Address
79 Robinson Road, No. 15-01, Singapore, SGP, 068897
BOC Aviation is the world's fifth-largest aircraft leasing company by net book value of owned aircraft, with a portfolio of more than 600 commercial passenger and cargo aircraft. The company was founded in 1993 in Singapore as a joint venture between Singapore Airlines and US-based Boullioun Aviation Services. In 2006, the company was acquired by the Bank of China and took on its current name. Listed on the Stock Exchange of Hong Kong in 2016, BOC Aviation remains headquartered in Singapore but has operations in Dublin, London, New York, and Tianjin. Bank of China remains its largest shareholder with a 70% stake. BOC Aviation has an international management team, with key leaders having more than 30 years of experience in the aircraft and leasing business.

BOC Aviation Headlines

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