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Packaging of America (STU:PKA) Gross Margin % : 23.15% (As of Sep. 2024)


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What is Packaging of America Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Packaging of America's Gross Profit for the three months ended in Sep. 2024 was €455 Mil. Packaging of America's Revenue for the three months ended in Sep. 2024 was €1,966 Mil. Therefore, Packaging of America's Gross Margin % for the quarter that ended in Sep. 2024 was 23.15%.


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

STU:PKA' s Gross Margin % Range Over the Past 10 Years
Min: 20.57   Med: 22.45   Max: 24.66
Current: 21.08


During the past 13 years, the highest Gross Margin % of Packaging of America was 24.66%. The lowest was 20.57%. And the median was 22.45%.

STU:PKA's Gross Margin % is ranked better than
50.26% of 380 companies
in the Packaging & Containers industry
Industry Median: 21.03 vs STU:PKA: 21.08

Packaging of America had a gross margin of 23.15% for the quarter that ended in Sep. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Packaging of America was -0.20% per year.


Packaging of America Gross Margin % Historical Data

The historical data trend for Packaging of America'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.

Packaging of America Gross Margin % Chart

Packaging of America 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 23.61 20.57 24.23 24.66 21.77

Packaging of America 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 21.32 21.16 18.71 21.09 23.15

Competitive Comparison of Packaging of America's Gross Margin %

For the Packaging & Containers subindustry, Packaging of America'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.


Packaging of America's Gross Margin % Distribution in the Packaging & Containers Industry

For the Packaging & Containers industry and Consumer Cyclical sector, Packaging of America's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Packaging of America's Gross Margin % falls into.



Packaging of America Gross Margin % Calculation

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

Packaging of America'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 )
=1557.9 / 7154.801
=(Revenue - Cost of Goods Sold) / Revenue
=(7154.801 - 5596.91) / 7154.801
=21.77 %

Packaging of America'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 )
=455.2 / 1966.342
=(Revenue - Cost of Goods Sold) / Revenue
=(1966.342 - 1511.157) / 1966.342
=23.15 %

* 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.


Packaging of America  (STU:PKA) 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

Packaging of America had a gross margin of 23.15% 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.


Packaging of America Gross Margin % Related Terms

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Packaging of America Business Description

Traded in Other Exchanges
Address
1 North Field Court, Lake Forest, IL, USA, 60045
Packaging Corp. of America is the third-largest containerboard and corrugated packaging manufacturer in the United States. It produces over 4.5 million tons of containerboard annually. The company's share of the domestic containerboard market is roughly 10%. PCA differentiates itself from larger competitors by focusing on smaller customers and operating with a high degree of flexibility.

Packaging of America Headlines

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