PAEGF (Peace Arch Entertainment Group) Gross Margin %: 60.23% (As of May. 2008)


What is Peace Arch Entertainment Group Gross Margin %?

Peace Arch Entertainment Group PAEGF -99.90% Gross Margin % is 60.23% as of May. 2008.

Gross Margin % is calculated as gross profit divided by its revenue. Peace Arch Entertainment Group's Gross Profit for the three months ended in May. 2008 was $14.19 Mil. Peace Arch Entertainment Group's Revenue for the three months ended in May. 2008 was $23.56 Mil. Therefore, Peace Arch Entertainment Group's Gross Margin % for the quarter that ended in May. 2008 was 60.23%.


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


PAEGF's Gross Margin % is not ranked *
in the Media - Diversified industry.
Industry Median: 38.9
* Ranked among companies with meaningful Gross Margin % only.

Peace Arch Entertainment Group had a gross margin of 60.23% for the quarter that ended in May. 2008 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Peace Arch Entertainment Group was 0.00% per year.

Peace Arch Entertainment Group  (OTCPK:PAEGF) 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

Peace Arch Entertainment Group had a gross margin of 60.23% for the quarter that ended in May. 2008 => Durable 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.

Peace Arch Entertainment Group Gross Margin % Related Terms

Peace Arch Entertainment Group Gross Margin % Historical Data

* Premium members only.

The historical data trend for Peace Arch Entertainment Group'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.

Peace Arch Entertainment Group Gross Margin % Chart

Peace Arch Entertainment Group Annual Data
Trend Aug98 Aug99 Aug00 Aug01 Aug02 Aug03 Aug04 Aug05 Aug06 Aug07
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 98.95 0.00 0.00 0.00 0.00

Peace Arch Entertainment Group Quarterly Data
Aug03 Nov03 Feb04 May04 Aug04 Nov04 Feb05 May05 Aug05 Nov05 Feb06 May06 Aug06 Nov06 Feb07 May07 Aug07 Nov07 Feb08 May08
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 81.00 0.00 53.39 63.61 60.23

PAEGF vs PTSX, ASKH, CRCO: Gross Margin % Comparison

For the Entertainment subindustry, Peace Arch Entertainment Group'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.

Peace Arch Entertainment Group Gross Margin % vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Peace Arch Entertainment Group's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Peace Arch Entertainment Group's Gross Margin % falls into.


Peace Arch Entertainment Group Gross Margin % Calculation

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

Peace Arch Entertainment Group's Gross Margin for the fiscal year that ended in Aug. 2007 is calculated as

Gross Margin % (A: Aug. 2007 )=Gross Profit (A: Aug. 2007 ) / Revenue (A: Aug. 2007 )
=58.4 / 58.405
=(Revenue - Cost of Goods Sold) / Revenue
=(58.405 - 0) / 58.405
=N/A %

Peace Arch Entertainment Group's Gross Margin for the quarter that ended in May. 2008 is calculated as


Gross Margin % (Q: May. 2008 )=Gross Profit (Q: May. 2008 ) / Revenue (Q: May. 2008 )
=14.2 / 23.564
=(Revenue - Cost of Goods Sold) / Revenue
=(23.564 - 9.371) / 23.564
=60.23 %

* 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 60.23% mean?
Peace Arch Entertainment Group (PAEGF) has a Gross Margin % of 60.23% as of May. 2008. Gross margin is the ratio of total gross profit to net sales. View historical data on Peace Arch Entertainment Group and its competitors.
Is Peace Arch Entertainment Group's Gross Margin % too high?
Peace Arch Entertainment Group's current Gross Margin % is 60.23%. The Media - Diversified industry median Gross Margin % is 38.90. Peace Arch Entertainment Group's value of 60.23% is 54.8% above this industry median.
How does Peace Arch Entertainment Group's Gross Margin % compare to PTSX and ASKH?
Peace Arch Entertainment Group's Gross Margin % of 60.23% can be compared against companies in the Media - Diversified industry. The industry median Gross Margin % is 38.90. Peace Arch Entertainment Group's value of 60.23% is 54.8% above 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 Media - Diversified company?
The median Gross Margin % among Media - Diversified companies is 38.90, based on 953 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. Peace Arch Entertainment Group's current Gross Margin % of 60.23% is 54.8% above 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 Peace Arch Entertainment Group and its competitors. For the Media - Diversified industry, the median Gross Margin % is 38.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Peace Arch Entertainment Group's current Gross Margin % is 60.23%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Peace Arch Entertainment Group stock overvalued right now?
Peace Arch Entertainment Group (PAEGF) has a current Gross Margin % of 60.23%. The current Gross Margin % is 60.23% and 54.8% above the Media - Diversified industry median of 38.90. 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 Peace Arch Entertainment Group (PAEGF), the current Gross Margin % is 60.23% as of May. 2008. 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.

Peace Arch Entertainment Group Business Description

Address 1867 Yonge Street, Suite 650, Toronto, ON, CAN, M4S 1Y5
Peace Arch Entertainment Group Inc is an integrated media company, which produces and acquires feature films, television and home entertainment content for distribution to worldwide markets.