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OEM International AB (LTS:0QTY) Gross Margin % : 36.14% (As of Mar. 2024)


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What is OEM International AB Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. OEM International AB's Gross Profit for the three months ended in Mar. 2024 was kr481 Mil. OEM International AB's Revenue for the three months ended in Mar. 2024 was kr1,331 Mil. Therefore, OEM International AB's Gross Margin % for the quarter that ended in Mar. 2024 was 36.14%.


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

LTS:0QTY' s Gross Margin % Range Over the Past 10 Years
Min: 34.83   Med: 36.02   Max: 36.93
Current: 35.72


During the past 13 years, the highest Gross Margin % of OEM International AB was 36.93%. The lowest was 34.83%. And the median was 36.02%.

LTS:0QTY's Gross Margin % is ranked better than
79.02% of 143 companies
in the Industrial Distribution industry
Industry Median: 22.61 vs LTS:0QTY: 35.72

OEM International AB had a gross margin of 36.14% for the quarter that ended in Mar. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for OEM International AB was 0.60% per year.


OEM International AB Gross Margin % Historical Data

The historical data trend for OEM International AB'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.

OEM International AB Gross Margin % Chart

OEM International AB Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 35.32 34.83 36.24 36.14 35.86

OEM International AB Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 36.68 36.19 35.31 35.18 36.14

Competitive Comparison of OEM International AB's Gross Margin %

For the Industrial Distribution subindustry, OEM International AB'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.


OEM International AB's Gross Margin % Distribution in the Industrial Distribution Industry

For the Industrial Distribution industry and Industrials sector, OEM International AB's Gross Margin % distribution charts can be found below:

* The bar in red indicates where OEM International AB's Gross Margin % falls into.



OEM International AB Gross Margin % Calculation

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

OEM International AB's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )=Gross Profit (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=1844.9 / 5144.8
=(Revenue - Cost of Goods Sold) / Revenue
=(5144.8 - 3299.9) / 5144.8
=35.86 %

OEM International AB's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=481 / 1331
=(Revenue - Cost of Goods Sold) / Revenue
=(1331 - 850) / 1331
=36.14 %

* 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.


OEM International AB  (LTS:0QTY) 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

OEM International AB had a gross margin of 36.14% for the quarter that ended in Mar. 2024 => 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.


OEM International AB Gross Margin % Related Terms

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OEM International AB (LTS:0QTY) Business Description

Traded in Other Exchanges
Address
Forradsvagen 2, Box 1009, Tranas, SWE, SE-573 28
OEM International AB is a leading technology trading group in Europe. It acts as a link between its customers and manufacturers of products and systems for industrial applications. It offers various industrial components and systems from various suppliers, including electrical components, flow components, motors and transmissions, bearings, seals, and couplings, as well as appliance components, lighting, and complete production systems. Geographic areas of operations include Sweden, Denmark, United Kingdom, Finland, Hungary, China and other countries.

OEM International AB (LTS:0QTY) Headlines

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