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KNX (Knight-Swift Transportation Holdings) Gross Margin % : 14.48% (As of Dec. 2024)


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What is Knight-Swift Transportation Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Knight-Swift Transportation Holdings's Gross Profit for the three months ended in Dec. 2024 was $270 Mil. Knight-Swift Transportation Holdings's Revenue for the three months ended in Dec. 2024 was $1,864 Mil. Therefore, Knight-Swift Transportation Holdings's Gross Margin % for the quarter that ended in Dec. 2024 was 14.48%.

Warning Sign:

Knight-Swift Transportation Holdings Inc gross margin has been in long-term decline. The average rate of decline per year is -4.4%.


The historical rank and industry rank for Knight-Swift Transportation Holdings's Gross Margin % or its related term are showing as below:

KNX' s Gross Margin % Range Over the Past 10 Years
Min: 13.96   Med: 18.97   Max: 23.89
Current: 13.97


During the past 13 years, the highest Gross Margin % of Knight-Swift Transportation Holdings was 23.89%. The lowest was 13.96%. And the median was 18.97%.

KNX's Gross Margin % is ranked worse than
67.58% of 950 companies
in the Transportation industry
Industry Median: 20.065 vs KNX: 13.97

Knight-Swift Transportation Holdings had a gross margin of 14.48% for the quarter that ended in Dec. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Knight-Swift Transportation Holdings was -4.40% per year.


Knight-Swift Transportation Holdings Gross Margin % Historical Data

The historical data trend for Knight-Swift Transportation Holdings'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.

Knight-Swift Transportation Holdings Gross Margin % Chart

Knight-Swift Transportation Holdings Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 20.73 23.55 23.89 17.56 13.96

Knight-Swift Transportation Holdings Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 14.93 13.15 14.40 13.82 14.48

Competitive Comparison of Knight-Swift Transportation Holdings's Gross Margin %

For the Trucking subindustry, Knight-Swift Transportation Holdings'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.


Knight-Swift Transportation Holdings's Gross Margin % Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Knight-Swift Transportation Holdings's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Knight-Swift Transportation Holdings's Gross Margin % falls into.


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Knight-Swift Transportation Holdings Gross Margin % Calculation

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

Knight-Swift Transportation Holdings's Gross Margin for the fiscal year that ended in Dec. 2024 is calculated as

Gross Margin % (A: Dec. 2024 )=Gross Profit (A: Dec. 2024 ) / Revenue (A: Dec. 2024 )
=1034.8 / 7410.078
=(Revenue - Cost of Goods Sold) / Revenue
=(7410.078 - 6375.289) / 7410.078
=13.96 %

Knight-Swift Transportation Holdings's Gross Margin for the quarter that ended in Dec. 2024 is calculated as


Gross Margin % (Q: Dec. 2024 )=Gross Profit (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=269.9 / 1864.281
=(Revenue - Cost of Goods Sold) / Revenue
=(1864.281 - 1594.337) / 1864.281
=14.48 %

* 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.


Knight-Swift Transportation Holdings  (NYSE:KNX) 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

Knight-Swift Transportation Holdings had a gross margin of 14.48% for the quarter that ended in Dec. 2024 => 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.


Knight-Swift Transportation Holdings Gross Margin % Related Terms

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


Knight-Swift Transportation Holdings Business Description

Traded in Other Exchanges
Address
2002 West Wahalla Lane, Phoenix, AZ, USA, 85027
Knight-Swift is the largest full-truckload carrier in the US, with a diversified transportation offering. Pro forma for the U.S. Xpress deal, about 82% of revenue derives from Knight's asset-based trucking business, with full truckload (for-hire dry van, refrigerated, and dedicated contract) making up 69% and less than truckload 13%. Truck brokerage and other asset-light logistics services make up 9% of revenue, with intermodal near 6%. Knight's intermodal operations use the Class I railroads for the underlying movement of its shipping containers and include drayage (regional trucking services to and from inland intermodal ramps/terminals). The remainder of revenue reflects services offered to shippers and third-party truckers, including equipment maintenance and leasing.
Executives
Ploeg David Vander director PO BOX 1579, APPLETON WI 54912-1579
Kevin P Knight director, officer: Executive Chairman 5601 WEST BUCKEYE ROAD, PHOENIX AZ 85043
Synowicki Robert E Jr director PO BOX 45308, OMAHA NE 68145-0308
Michael Garnreiter director 6735 E. GREENWAY PARKWAY, UNIT #2049, SCOTTSDALE AZ 85254
Michael K Liu officer: Exec VP of Ops, Knight Trans 5601 WEST BUCKEYE ROAD, PHOENIX AZ 85043
Cary M Flanagan officer: Controller SWIFT TRANSPORTATION COMPANY, 2200 SOUTH 75TH AVENUE, PHOENIX AZ 85043
Timothy Sean Harrington officer: Exec. Vice Pres. Sales 2200 NORTH 75TH AVENUE, PHOENIX AZ 85027
James L Fitzsimmons officer: Exec. Vice Pres. Operations 2200 NORTH 75TH AVENUE, PHOENIX AZ 85027
Amy Boerger director 2002 W WAHALLA LANE, PHOENIX AZ 85027
Joshua Smith officer: CFO, US Xpress Inc. 2002 W WAHALLA LANE, PHOENIX AZ 85027
Dustin Ohlman officer: VP Intermodal 2200 S 75TH AVE, PHOENIX AZ 85043
Reed Stultz officer: SR VP Logistics 2002 W WAHALLA LANE, PHOENIX AZ 85027
Kathryn L Munro director 200 N WASHINGTON SQUARE, LANSING MI 48933
Jessica Powell director 2002 W WAHALLA, PHOENIX AZ 85027
Updike James E. Jr. officer: EVP Sales & Mkt, Knight Trans. 5601 WEST BUCKEYE ROAD, PHOENIX AZ 85043