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Bodisen Biotech (LSE:BODI) Gross Margin % : 30.68% (As of Jun. 2013)


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What is Bodisen Biotech Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Bodisen Biotech's Gross Profit for the three months ended in Jun. 2013 was £0.14 Mil. Bodisen Biotech's Revenue for the three months ended in Jun. 2013 was £0.44 Mil. Therefore, Bodisen Biotech's Gross Margin % for the quarter that ended in Jun. 2013 was 30.68%.


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


LSE:BODI's Gross Margin % is not ranked *
in the Agriculture industry.
Industry Median: 23.585
* Ranked among companies with meaningful Gross Margin % only.

Bodisen Biotech had a gross margin of 30.68% for the quarter that ended in Jun. 2013 => Competition eroding margins

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


Bodisen Biotech Gross Margin % Historical Data

The historical data trend for Bodisen Biotech'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.

Bodisen Biotech Gross Margin % Chart

Bodisen Biotech Annual Data
Trend Dec03 Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.34 11.34 12.94 27.02 13.84

Bodisen Biotech Quarterly Data
Jun08 Sep08 Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Jun13
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 30.45 20.24 6.12 13.13 30.68

Competitive Comparison of Bodisen Biotech's Gross Margin %

For the Agricultural Inputs subindustry, Bodisen Biotech'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.


Bodisen Biotech's Gross Margin % Distribution in the Agriculture Industry

For the Agriculture industry and Basic Materials sector, Bodisen Biotech's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Bodisen Biotech's Gross Margin % falls into.



Bodisen Biotech Gross Margin % Calculation

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

Bodisen Biotech's Gross Margin for the fiscal year that ended in Dec. 2012 is calculated as

Gross Margin % (A: Dec. 2012 )=Gross Profit (A: Dec. 2012 ) / Revenue (A: Dec. 2012 )
=0.7 / 4.987
=(Revenue - Cost of Goods Sold) / Revenue
=(4.987 - 4.297) / 4.987
=13.84 %

Bodisen Biotech's Gross Margin for the quarter that ended in Jun. 2013 is calculated as


Gross Margin % (Q: Jun. 2013 )=Gross Profit (Q: Jun. 2013 ) / Revenue (Q: Jun. 2013 )
=0.1 / 0.44
=(Revenue - Cost of Goods Sold) / Revenue
=(0.44 - 0.305) / 0.44
=30.68 %

* 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.


Bodisen Biotech  (LSE:BODI) 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

Bodisen Biotech had a gross margin of 30.68% for the quarter that ended in Jun. 2013 => 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.


Bodisen Biotech Gross Margin % Related Terms

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Bodisen Biotech (LSE:BODI) Business Description

Traded in Other Exchanges
N/A
Address
Bodisen Biotech Inc develops, manufactures and sells organic fertilizers, liquid fertilizers, pesticides and insecticides in China.