GURUFOCUS.COM » STOCK LIST » Industrials » Waste Management » Newalta Corp (OTCPK:NWLTF) » Definitions » Gross Margin %

Newalta (Newalta) Gross Margin % : 31.62% (As of Mar. 2018)


View and export this data going back to . Start your Free Trial

What is Newalta Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Newalta's Gross Profit for the three months ended in Mar. 2018 was $15.1 Mil. Newalta's Revenue for the three months ended in Mar. 2018 was $47.7 Mil. Therefore, Newalta's Gross Margin % for the quarter that ended in Mar. 2018 was 31.62%.


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


NWLTF's Gross Margin % is not ranked *
in the Waste Management industry.
Industry Median: 28.235
* Ranked among companies with meaningful Gross Margin % only.

Newalta had a gross margin of 31.62% for the quarter that ended in Mar. 2018 => Competition eroding margins

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


Newalta Gross Margin % Historical Data

The historical data trend for Newalta'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.

Newalta Gross Margin % Chart

Newalta 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 35.15 39.48 30.55 25.75 29.44

Newalta 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 29.62 28.40 29.71 29.96 31.62

Competitive Comparison of Newalta's Gross Margin %

For the Waste Management subindustry, Newalta'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.


Newalta's Gross Margin % Distribution in the Waste Management Industry

For the Waste Management industry and Industrials sector, Newalta's Gross Margin % distribution charts can be found below:

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



Newalta Gross Margin % Calculation

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

Newalta'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 )
=56.8 / 192.977
=(Revenue - Cost of Goods Sold) / Revenue
=(192.977 - 136.161) / 192.977
=29.44 %

Newalta'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 )
=15.1 / 47.745
=(Revenue - Cost of Goods Sold) / Revenue
=(47.745 - 32.647) / 47.745
=31.62 %

* 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.


Newalta  (OTCPK:NWLTF) 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

Newalta had a gross margin of 31.62% 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.


Newalta Gross Margin % Related Terms

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


Newalta (Newalta) Business Description

Traded in Other Exchanges
N/A
Address
Newalta Corp is engaged in providing engineered environmental solutions, which enable customers to reduce disposal, enhance recycling and recover valuable resources from oil and gas exploration and production waste streams. The operating segments of the group are Heavy oil and Oilfield. It generates maximum revenue from the Oilfield segment which includes the processing of oilfield-generated wastes, including treatment, water disposal, clean oil terminalling, landfilling, the sale of recovered crude oil and the supply and operation of drill site processing equipment, including solids control and drill cuttings management; as well as environmental services like environmental projects, drilling waste management services and site remediation. The group operates in Canada and the US.

Newalta (Newalta) Headlines