Acino Holding AG (LTS:0QM8) Gross Margin %: 66.99% (As of Dec. 2013)

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What is Acino Holding AG Gross Margin %?

Acino Holding AG LTS:0QM8 Gross Margin % is 66.99% as of Dec. 2013.

Gross Margin % is calculated as gross profit divided by its revenue. Acino Holding AG's Gross Profit for the six months ended in Dec. 2013 was CHF215.13 Mil. Acino Holding AG's Revenue for the six months ended in Dec. 2013 was CHF321.15 Mil. Therefore, Acino Holding AG's Gross Margin % for the quarter that ended in Dec. 2013 was 66.99%.


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


LTS:0QM8's Gross Margin % is not ranked *
in the Drug Manufacturers industry.
Industry Median: 48.54
* Ranked among companies with meaningful Gross Margin % only.

Acino Holding AG had a gross margin of 66.99% for the quarter that ended in Dec. 2013 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Acino Holding AG was 0.00% per year.


Acino Holding AG  (LTS:0QM8) 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

Acino Holding AG had a gross margin of 66.99% for the quarter that ended in Dec. 2013 => 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.


Acino Holding AG Gross Margin % Related Terms


Acino Holding AG Gross Margin % Historical Data

* Premium members only.

The historical data trend for Acino Holding AG'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.

Acino Holding AG Gross Margin % Chart

Acino Holding AG Annual Data
Trend Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 67.36 57.38 65.55 63.95 66.99

Acino Holding AG Semi-Annual Data
Dec03 Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 67.36 57.38 65.55 63.95 66.99

Acino Holding AG Gross Margin % Competitor Comparison

For the Drug Manufacturers - General subindustry, Acino Holding AG'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.


Acino Holding AG Gross Margin % vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Acino Holding AG's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Acino Holding AG's Gross Margin % falls into.



Acino Holding AG Gross Margin % Calculation

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

Acino Holding AG's Gross Margin for the fiscal year that ended in Dec. 2013 is calculated as

Gross Margin % (A: Dec. 2013 )=Gross Profit (A: Dec. 2013 ) / Revenue (A: Dec. 2013 )
=215.1 / 321.15
=(Revenue - Cost of Goods Sold) / Revenue
=(321.15 - 106.021) / 321.15
=66.99 %

Acino Holding AG's Gross Margin for the quarter that ended in Dec. 2013 is calculated as


Gross Margin % (Q: Dec. 2013 )=Gross Profit (Q: Dec. 2013 ) / Revenue (Q: Dec. 2013 )
=215.1 / 321.15
=(Revenue - Cost of Goods Sold) / Revenue
=(321.15 - 106.021) / 321.15
=66.99 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 66.99% mean?
Acino Holding AG (LTS:0QM8) has a Gross Margin % of 66.99% as of Dec. 2013. Gross margin is the ratio of total gross profit to net sales. View historical data on Acino Holding AG and its competitors.
Is Acino Holding AG's Gross Margin % too high?
Acino Holding AG's current Gross Margin % is 66.99%. The Drug Manufacturers industry median Gross Margin % is 48.54. Acino Holding AG's value of 66.99% is 38% above this industry median.
How does Acino Holding AG's Gross Margin % compare to competitors?
Acino Holding AG's Gross Margin % of 66.99% can be compared against companies in the Drug Manufacturers industry. The industry median Gross Margin % is 48.54. Acino Holding AG's value of 66.99% is 38% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Drug Manufacturers company?
The median Gross Margin % among Drug Manufacturers companies is 48.54, based on 941 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Acino Holding AG's current Gross Margin % of 66.99% is 38% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Acino Holding AG and its competitors. For the Drug Manufacturers industry, the median Gross Margin % is 48.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Acino Holding AG's current Gross Margin % is 66.99%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Acino Holding AG stock overvalued right now?
Acino Holding AG (LTS:0QM8) has a current Gross Margin % of 66.99%. The current Gross Margin % is 66.99% and 38% above the Drug Manufacturers industry median of 48.54. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Acino Holding AG (LTS:0QM8), the current Gross Margin % is 66.99% as of Dec. 2013. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Acino Holding AG Business Description

Acino Holding AG is a Switzerland-based company engaged in the pharmaceutical industry. The Company develops, manufactures, and markets pharmaceuticals in novel drug delivery forms internationally. It is divided into four segments Business to Consumer (BtC); Business to Business (BtB); Technology marketing (TM); and Production (Prod). The BtC segment comprises all direct marketing activities. Under the company's "Acino Switzerland" brand and, with the promise of Swiss quality, the company sells its products in emerging markets around the globe. This reporting segment includes the business purchased from Mepha/Cephalon in the Middle East, Africa, Latin America and Asia. The BtB segment comprises Acino's business with its internally developed products, for which the company also owns the intellectual property rights. Acino develops and produces high-quality medicines with proven active ingredients and modern drug delivery systems and grants licenses for them to leading pharmaceutical and generic pharmaceutical companies worldwide. The technology marketing segment comprises a broad spectrum of fully integrated contract services, including procurement, contract development, production and packaging for companies in the life sciences industry. On behalf of these customers, Acino develops a comprehensive product pipeline on the basis of its special technological know-how. This includes both new types of medicines as well as projects with innovative drug delivery systems for established active ingredients. The production segment is responsible for the manufacturing of products and the supplying of the other three segments, and generates turnover through the reimbursement of its services. The manufacturing costs of products are credited to the production segment at standard prices along with remuneration in the form of a mark-up for materials and production costs.