GURUFOCUS.COM » STOCK LIST » Technology » Semiconductors » REC Silicon ASA (OSL:RECSI) » Definitions » Gross Margin %

REC Silicon ASA (OSL:RECSI) Gross Margin % : 35.80% (As of Sep. 2024)


View and export this data going back to 2006. Start your Free Trial

What is REC Silicon ASA Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. REC Silicon ASA's Gross Profit for the three months ended in Sep. 2024 was kr129 Mil. REC Silicon ASA's Revenue for the three months ended in Sep. 2024 was kr359 Mil. Therefore, REC Silicon ASA's Gross Margin % for the quarter that ended in Sep. 2024 was 35.80%.


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

OSL:RECSI' s Gross Margin % Range Over the Past 10 Years
Min: 66.1   Med: 77.25   Max: 87.6
Current: 66.1


During the past 13 years, the highest Gross Margin % of REC Silicon ASA was 87.60%. The lowest was 66.10%. And the median was 77.25%.

OSL:RECSI's Gross Margin % is ranked better than
95.22% of 983 companies
in the Semiconductors industry
Industry Median: 28.41 vs OSL:RECSI: 66.10

REC Silicon ASA had a gross margin of 35.80% for the quarter that ended in Sep. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for REC Silicon ASA was 3.20% per year.


REC Silicon ASA Gross Margin % Historical Data

The historical data trend for REC Silicon ASA'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.

REC Silicon ASA Gross Margin % Chart

REC Silicon ASA 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 71.10 83.13 82.05 79.16 87.60

REC Silicon ASA Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 89.08 78.52 74.82 70.29 35.80

Competitive Comparison of REC Silicon ASA's Gross Margin %

For the Semiconductor Equipment & Materials subindustry, REC Silicon ASA'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.


REC Silicon ASA's Gross Margin % Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, REC Silicon ASA's Gross Margin % distribution charts can be found below:

* The bar in red indicates where REC Silicon ASA's Gross Margin % falls into.



REC Silicon ASA Gross Margin % Calculation

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

REC Silicon ASA'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 )
=1303.9 / 1488.52
=(Revenue - Cost of Goods Sold) / Revenue
=(1488.52 - 184.614) / 1488.52
=87.60 %

REC Silicon ASA's Gross Margin for the quarter that ended in Sep. 2024 is calculated as


Gross Margin % (Q: Sep. 2024 )=Gross Profit (Q: Sep. 2024 ) / Revenue (Q: Sep. 2024 )
=128.5 / 359.044
=(Revenue - Cost of Goods Sold) / Revenue
=(359.044 - 230.511) / 359.044
=35.80 %

* 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.


REC Silicon ASA  (OSL:RECSI) 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

REC Silicon ASA had a gross margin of 35.80% for the quarter that ended in Sep. 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.


REC Silicon ASA Gross Margin % Related Terms

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


REC Silicon ASA Business Description

Traded in Other Exchanges
Address
Fornebuveien 84, PO Box 63, Lysaker, NOR, 1324
REC Silicon ASA is a producer of silicon materials, supplying high-purity polysilicon and silicon gases to the solar and electronics industries. The product offered by the group includes Solar grade polysilicon, Electronic grade polysilicon, and Silicon gases. It operates in two segments namely Solar Materials and Semiconductor Materials. The majority of the firm's revenue is generated through the Semiconductor Materials segment.

REC Silicon ASA Headlines

No Headlines