GURUFOCUS.COM » STOCK LIST » Basic Materials » Building Materials » Italcementi SpA (OTCPK:ITAMF) » Definitions » Gross Margin %

Italcementi SpA (Italcementi SpA) Gross Margin % : 114.31% (As of Jun. 2016)


View and export this data going back to . Start your Free Trial

What is Italcementi SpA Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Italcementi SpA's Gross Profit for the three months ended in Jun. 2016 was $1,322 Mil. Italcementi SpA's Revenue for the three months ended in Jun. 2016 was $1,156 Mil. Therefore, Italcementi SpA's Gross Margin % for the quarter that ended in Jun. 2016 was 114.31%.


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


ITAMF's Gross Margin % is not ranked *
in the Building Materials industry.
Industry Median: 24.9
* Ranked among companies with meaningful Gross Margin % only.

Italcementi SpA had a gross margin of 114.31% for the quarter that ended in Jun. 2016 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Italcementi SpA was 0.00% per year.


Italcementi SpA Gross Margin % Historical Data

The historical data trend for Italcementi SpA'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.

Italcementi SpA Gross Margin % Chart

Italcementi SpA Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 59.00 34.04 60.54 35.06 34.77

Italcementi SpA Quarterly Data
Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Jun16
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 31.26 36.06 60.67 -40.00 114.31

Competitive Comparison of Italcementi SpA's Gross Margin %

For the Building Materials subindustry, Italcementi SpA'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.


Italcementi SpA's Gross Margin % Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Italcementi SpA's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Italcementi SpA's Gross Margin % falls into.



Italcementi SpA Gross Margin % Calculation

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

Italcementi SpA's Gross Margin for the fiscal year that ended in Dec. 2015 is calculated as

Gross Margin % (A: Dec. 2015 )=Gross Profit (A: Dec. 2015 ) / Revenue (A: Dec. 2015 )
=1640.9 / 4719.033
=(Revenue - Cost of Goods Sold) / Revenue
=(4719.033 - 3078.085) / 4719.033
=34.77 %

Italcementi SpA's Gross Margin for the quarter that ended in Jun. 2016 is calculated as


Gross Margin % (Q: Jun. 2016 )=Gross Profit (Q: Jun. 2016 ) / Revenue (Q: Jun. 2016 )
=1321.9 / 1156.363
=(Revenue - Cost of Goods Sold) / Revenue
=(1156.363 - -165.489) / 1156.363
=114.31 %

* 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.


Italcementi SpA  (OTCPK:ITAMF) 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

Italcementi SpA had a gross margin of 114.31% for the quarter that ended in Jun. 2016 => 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.


Italcementi SpA Gross Margin % Related Terms

Thank you for viewing the detailed overview of Italcementi SpA's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Italcementi SpA (Italcementi SpA) Business Description

Traded in Other Exchanges
N/A
Address
Italcementi SpA was incorporated in 1864. It is a cement manufacturing company. The Company engages in manufacturing and distributing of three main product lines, including cement, aggregates, and ready mixed concrete. The Company's business segments are operations relating to the production and sale of cement and clinker; operations relating to construction materials: ready mixed concrete and aggregates and other operations such as: transport, engineering, e-business and energy. The Company operates its business in Albania, Belgium, Bulgaria, Canada, Cyprus, Egypt, France, Gambia, Greece, India, Italy, Kazakhstan, Morocco, Mauritania, Spain, Sri Lanka, Thailand, Turkey, and the United States.

Italcementi SpA (Italcementi SpA) Headlines

From GuruFocus

Mario Gabelli Comments on Italcementi SpA

By Holly LaFon Holly LaFon 01-29-2016

First Eagle Overseas Fund 3rd Quarter Commentary

By Holly LaFon 11-23-2015