Al Jazeera Services (MUS:AJSS) Gross Margin %: 26.94% (As of Mar. 2018)


What is Al Jazeera Services Gross Margin %?

Al Jazeera Services MUS:AJSS +2.22% Gross Margin % is 26.94% as of Mar. 2018.

Gross Margin % is calculated as gross profit divided by its revenue. Al Jazeera Services's Gross Profit for the three months ended in Mar. 2018 was ر.ع0.48 Mil. Al Jazeera Services's Revenue for the three months ended in Mar. 2018 was ر.ع1.78 Mil. Therefore, Al Jazeera Services's Gross Margin % for the quarter that ended in Mar. 2018 was 26.94%.


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


MUS:AJSS's Gross Margin % is not ranked *
in the Business Services industry.
Industry Median: 34.5
* Ranked among companies with meaningful Gross Margin % only.

Al Jazeera Services had a gross margin of 26.94% for the quarter that ended in Mar. 2018 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Al Jazeera Services was 0.00% per year.


Al Jazeera Services  (MUS:AJSS) 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

Al Jazeera Services had a gross margin of 26.94% for the quarter that ended in Mar. 2018 => 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.


Al Jazeera Services Gross Margin % Related Terms


Al Jazeera Services Gross Margin % Historical Data

* Premium members only.

The historical data trend for Al Jazeera Services'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.

Al Jazeera Services Gross Margin % Chart

Al Jazeera Services Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.79 30.51 29.75 54.64 55.31

Al Jazeera Services Quarterly Data
Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18
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 26.13 27.03 24.87 149.55 26.94

MUS:AJSS vs STWC: Gross Margin % Comparison

For the Specialty Business Services subindustry, Al Jazeera Services'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.


Al Jazeera Services Gross Margin % vs Business Services Industry

For the Business Services industry and Industrials sector, Al Jazeera Services's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Al Jazeera Services's Gross Margin % falls into.



Al Jazeera Services Gross Margin % Calculation

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

Al Jazeera Services's Gross Margin for the fiscal year that ended in Dec. 2017 is calculated as

Gross Margin % (A: Dec. 2017 )=Gross Profit (A: Dec. 2017 ) / Revenue (A: Dec. 2017 )
=4.4 / 7.951
=(Revenue - Cost of Goods Sold) / Revenue
=(7.951 - 3.553) / 7.951
=55.31 %

Al Jazeera Services's Gross Margin for the quarter that ended in Mar. 2018 is calculated as


Gross Margin % (Q: Mar. 2018 )=Gross Profit (Q: Mar. 2018 ) / Revenue (Q: Mar. 2018 )
=0.5 / 1.778
=(Revenue - Cost of Goods Sold) / Revenue
=(1.778 - 1.299) / 1.778
=26.94 %

* 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 26.94% mean?
Al Jazeera Services (MUS:AJSS) has a Gross Margin % of 26.94% as of Mar. 2018. Gross margin is the ratio of total gross profit to net sales. View historical data on Al Jazeera Services and its competitors.
Is Al Jazeera Services' Gross Margin % too high?
Al Jazeera Services' current Gross Margin % is 26.94%. The Business Services industry median Gross Margin % is 34.50. Al Jazeera Services' value of 26.94% is 21.9% below this industry median.
How does Al Jazeera Services' Gross Margin % compare to STWC?
Al Jazeera Services' Gross Margin % of 26.94% can be compared against companies in the Business Services industry. The industry median Gross Margin % is 34.50. Al Jazeera Services' value of 26.94% is 21.9% below 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 Business Services company?
The median Gross Margin % among Business Services companies is 34.50, based on 1,007 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. Al Jazeera Services's current Gross Margin % of 26.94% is 21.9% below 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 Al Jazeera Services and its competitors. For the Business Services industry, the median Gross Margin % is 34.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Al Jazeera Services's current Gross Margin % is 26.94%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Al Jazeera Services stock overvalued right now?
Al Jazeera Services (MUS:AJSS) has a current Gross Margin % of 26.94%. The current Gross Margin % is 26.94% and 21.9% below the Business Services industry median of 34.50. 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 Al Jazeera Services (MUS:AJSS), the current Gross Margin % is 26.94% as of Mar. 2018. 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.

Al Jazeera Services Business Description

Address 408, 4th Floor, International Medical Centre, P.O.Box 2865, Near Al Hamriya Roundabout, Ruwi, OMN, 112
Al Jazeera Services, formerly Al Jazeira Services Co SAOG, and its subsidiary are mainly engaged in catering and service support in Oman. The firm is engaged in contracting services which include catering, housekeeping, laundry, equipment supplies, and allied services. The contracting services business involves the feeding and housing of workers and personnel engaged in the industrial, oil, and gas sectors, military and civilian defense forces, and hospital, and educational sectors. In addition, the company is also engaged in investment activities. The company holds investment interests in banking, services, and industrial sectors in the local securities market as well as in the overseas stock market.