Precision Auto Care (Precision Auto Care) Gross Margin % : 19.08% (As of Mar. 2017)

Precision Auto Care Gross Margin % Chart

Precision Auto Care Annual Data
	Trend	Jun02	Jun03	Jun04	Jun05	Jun06	Jun07	Jun08	Jun14	Jun15	Jun16
Gross Margin %		Get a 7-Day Free Trial					32.56	32.04	20.32	16.10	20.41

Precision Auto Care Quarterly Data
	Mar07	Jun07	Sep07	Dec07	Mar08	Jun08	Sep08	Dec08	Jun14	Sep14	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17
Gross Margin %	Get a 7-Day Free Trial															20.77	21.57	19.44	13.66	19.08

Competitive Comparison of Precision Auto Care's Gross Margin %

For the Personal Services subindustry, Precision Auto Care'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.

Precision Auto Care's Gross Margin % Distribution in the Personal Services Industry

For the Personal Services industry and Consumer Cyclical sector, Precision Auto Care's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Precision Auto Care's Gross Margin % falls into.

Precision Auto Care Gross Margin % Calculation

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

Precision Auto Care's Gross Margin for the fiscal year that ended in Jun. 2016 is calculated as

Precision Auto Care's Gross Margin for the quarter that ended in Mar. 2017 is calculated as

* 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.

Precision Auto Care  (OTCPK:PACI) 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

Precision Auto Care had a gross margin of 19.08% for the quarter that ended in Mar. 2017 => 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.

Precision Auto Care Gross Margin % Related Terms

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

Precision Auto Care (Precision Auto Care) Business Description