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SGLJF (Strauss Group) Gross Margin % : 34.86% (As of Sep. 2024)


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What is Strauss Group Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Strauss Group's Gross Profit for the three months ended in Sep. 2024 was $182 Mil. Strauss Group's Revenue for the three months ended in Sep. 2024 was $521 Mil. Therefore, Strauss Group's Gross Margin % for the quarter that ended in Sep. 2024 was 34.86%.

Warning Sign:

Strauss Group Ltd gross margin has been in long-term decline. The average rate of decline per year is -3.7%.


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

SGLJF' s Gross Margin % Range Over the Past 10 Years
Min: 32.37   Med: 39.31   Max: 41.23
Current: 34.52


During the past 13 years, the highest Gross Margin % of Strauss Group was 41.23%. The lowest was 32.37%. And the median was 39.31%.

SGLJF's Gross Margin % is ranked better than
67.34% of 1840 companies
in the Consumer Packaged Goods industry
Industry Median: 25.825 vs SGLJF: 34.52

Strauss Group had a gross margin of 34.86% for the quarter that ended in Sep. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Strauss Group was -3.70% per year.


Strauss Group Gross Margin % Historical Data

The historical data trend for Strauss 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.

* Premium members only.

Strauss Group Gross Margin % Chart

Strauss Group 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 41.23 40.66 39.87 32.37 35.95

Strauss Group 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 33.16 36.19 32.73 34.27 34.86

Competitive Comparison of Strauss Group's Gross Margin %

For the Packaged Foods subindustry, Strauss 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.


Strauss Group's Gross Margin % Distribution in the Consumer Packaged Goods Industry

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

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



Strauss Group Gross Margin % Calculation

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

Strauss Group'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 )
=679.7 / 1890.391
=(Revenue - Cost of Goods Sold) / Revenue
=(1890.391 - 1210.741) / 1890.391
=35.95 %

Strauss Group'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 )
=181.7 / 521.075
=(Revenue - Cost of Goods Sold) / Revenue
=(521.075 - 339.408) / 521.075
=34.86 %

* 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.


Strauss Group  (OTCPK:SGLJF) 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

Strauss Group had a gross margin of 34.86% 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.


Strauss Group Gross Margin % Related Terms

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


Strauss Group Business Description

Traded in Other Exchanges
Address
49 Hasivim Street, Kiryat Matalon, P.O. Box 194, Petach Tikva, ISR, 4959504
Strauss Group Ltd is a food and beverage company that holds a portfolio of companies including Strauss Coffee B.V., which produces coffee, teas, and other complementary products, and provides coffee services to hotels, restaurants, cafes, and working places; Strauss Israel, which offers a variety of products such as dairies, snacks, and drinks to Israel food market; Strauss Water, which specializes in drinking water solutions; and PepsiCo-Strauss Fresh Dips and Spreads, which supplies vegetarian dips and fresh foods. Its geographical segments are Israel, and Europe and the Rest of the World, of which the company generates most of its revenue from Israel.