Hi-Crush (FRA:HCU) Gross Margin %: -15.45% (As of Jun. 2020)

Hi-Crush  (FRA:HCU) 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

Hi-Crush had a gross margin of -15.45% for the quarter that ended in Jun. 2020 => No sustainable 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.

Hi-Crush Gross Margin % Related Terms

The historical data trend for Hi-Crush'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.

Hi-Crush Gross Margin % Chart

Hi-Crush Annual Data
	Trend	Dec10	Dec11	Dec12	Dec13	Dec14	Dec15	Dec16	Dec17	Dec18	Dec19
Gross Margin %		Get a 7-Day Free Trial					24.56	-0.45	22.37	26.88	9.95

Hi-Crush Quarterly Data
	Sep15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17	Jun17	Sep17	Dec17	Mar18	Jun18	Sep18	Dec18	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20
Gross Margin %	Get a 7-Day Free Trial															12.73	8.78	5.84	6.60	-15.45

FRA:HCU vs NCSM, QES, DWSN: Gross Margin % Comparison

For the Oil & Gas Equipment & Services subindustry, Hi-Crush'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.

Hi-Crush Gross Margin % vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Hi-Crush's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Hi-Crush's Gross Margin % falls into.

Hi-Crush Gross Margin % Calculation

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

Hi-Crush's Gross Margin for the fiscal year that ended in Dec. 2019 is calculated as

Hi-Crush's Gross Margin for the quarter that ended in Jun. 2020 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.

Hi-Crush Business Description