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Salalah Mills CoOG (MUS:SFMI) Gross Margin % : 9.28% (As of Dec. 2022)


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What is Salalah Mills CoOG Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Salalah Mills CoOG's Gross Profit for the six months ended in Dec. 2022 was ر.ع7.01 Mil. Salalah Mills CoOG's Revenue for the six months ended in Dec. 2022 was ر.ع75.49 Mil. Therefore, Salalah Mills CoOG's Gross Margin % for the quarter that ended in Dec. 2022 was 9.28%.

Warning Sign:

Salalah Mills Co SAOG gross margin has been in long-term decline. The average rate of decline per year is -8.2%.


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

MUS:SFMI' s Gross Margin % Range Over the Past 10 Years
Min: 9.28   Med: 14.39   Max: 19.13
Current: 9.28


During the past 13 years, the highest Gross Margin % of Salalah Mills CoOG was 19.13%. The lowest was 9.28%. And the median was 14.39%.

MUS:SFMI's Gross Margin % is ranked worse than
85.01% of 1815 companies
in the Consumer Packaged Goods industry
Industry Median: 25.25 vs MUS:SFMI: 9.28

Salalah Mills CoOG had a gross margin of 9.28% for the quarter that ended in Dec. 2022 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Salalah Mills CoOG was -8.20% per year.


Salalah Mills CoOG Gross Margin % Historical Data

The historical data trend for Salalah Mills CoOG'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.

Salalah Mills CoOG Gross Margin % Chart

Salalah Mills CoOG Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec21 Dec22
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.78 14.15 15.48 9.71 9.28

Salalah Mills CoOG Semi-Annual Data
Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec21 Dec22
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 13.78 14.15 15.48 9.71 9.28

Competitive Comparison of Salalah Mills CoOG's Gross Margin %

For the Farm Products subindustry, Salalah Mills CoOG'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.


Salalah Mills CoOG's Gross Margin % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Salalah Mills CoOG's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Salalah Mills CoOG's Gross Margin % falls into.



Salalah Mills CoOG Gross Margin % Calculation

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

Salalah Mills CoOG's Gross Margin for the fiscal year that ended in Dec. 2022 is calculated as

Gross Margin % (A: Dec. 2022 )=Gross Profit (A: Dec. 2022 ) / Revenue (A: Dec. 2022 )
=7 / 75.494
=(Revenue - Cost of Goods Sold) / Revenue
=(75.494 - 68.488) / 75.494
=9.28 %

Salalah Mills CoOG's Gross Margin for the quarter that ended in Dec. 2022 is calculated as


Gross Margin % (Q: Dec. 2022 )=Gross Profit (Q: Dec. 2022 ) / Revenue (Q: Dec. 2022 )
=7 / 75.494
=(Revenue - Cost of Goods Sold) / Revenue
=(75.494 - 68.488) / 75.494
=9.28 %

* 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.


Salalah Mills CoOG  (MUS:SFMI) 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

Salalah Mills CoOG had a gross margin of 9.28% for the quarter that ended in Dec. 2022 => 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.


Salalah Mills CoOG Gross Margin % Related Terms

Thank you for viewing the detailed overview of Salalah Mills CoOG's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Salalah Mills CoOG (MUS:SFMI) Business Description

Traded in Other Exchanges
N/A
Address
Al Awqadain, P.O Box 67, Salalah, OMN, 217
Salalah Mills Co SAOG is engaged in milling of wheat and selling wheat flour, bran and feed in Oman, Africa & other Asian countries. It offers various flour products, Arabic bread flour, home baking flour, Semolina, Harees, Jareesh & other atta products.

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