GURUFOCUS.COM » STOCK LIST » Utilities » Utilities - Independent Power Producers » Taronis Fuels Inc (OTCPK:TRNFQ) » Definitions » Gross Margin %

Taronis Fuels (Taronis Fuels) Gross Margin % : 65.16% (As of Sep. 2020)


View and export this data going back to 2020. Start your Free Trial

What is Taronis Fuels Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Taronis Fuels's Gross Profit for the three months ended in Sep. 2020 was $6.30 Mil. Taronis Fuels's Revenue for the three months ended in Sep. 2020 was $9.66 Mil. Therefore, Taronis Fuels's Gross Margin % for the quarter that ended in Sep. 2020 was 65.16%.


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


TRNFQ's Gross Margin % is not ranked *
in the Utilities - Independent Power Producers industry.
Industry Median: 35.58
* Ranked among companies with meaningful Gross Margin % only.

Taronis Fuels had a gross margin of 65.16% for the quarter that ended in Sep. 2020 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Taronis Fuels was 0.00% per year.


Taronis Fuels Gross Margin % Historical Data

The historical data trend for Taronis Fuels'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.

Taronis Fuels Gross Margin % Chart

Taronis Fuels Annual Data
Trend Dec17 Dec18 Dec19
Gross Margin %
41.33 42.36 50.97

Taronis Fuels Quarterly Data
Dec17 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only 52.13 61.93 49.73 80.67 65.16

Competitive Comparison of Taronis Fuels's Gross Margin %

For the Utilities - Renewable subindustry, Taronis Fuels'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.


Taronis Fuels's Gross Margin % Distribution in the Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, Taronis Fuels's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Taronis Fuels's Gross Margin % falls into.



Taronis Fuels Gross Margin % Calculation

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

Taronis Fuels's Gross Margin for the fiscal year that ended in Dec. 2019 is calculated as

Gross Margin % (A: Dec. 2019 )=Gross Profit (A: Dec. 2019 ) / Revenue (A: Dec. 2019 )
=10.7 / 21.084
=(Revenue - Cost of Goods Sold) / Revenue
=(21.084 - 10.338) / 21.084
=50.97 %

Taronis Fuels's Gross Margin for the quarter that ended in Sep. 2020 is calculated as


Gross Margin % (Q: Sep. 2020 )=Gross Profit (Q: Sep. 2020 ) / Revenue (Q: Sep. 2020 )
=6.3 / 9.662
=(Revenue - Cost of Goods Sold) / Revenue
=(9.662 - 3.366) / 9.662
=65.16 %

* 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.


Taronis Fuels  (OTCPK:TRNFQ) 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

Taronis Fuels had a gross margin of 65.16% for the quarter that ended in Sep. 2020 => 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.


Taronis Fuels Gross Margin % Related Terms

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


Taronis Fuels (Taronis Fuels) Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
24980 N. 83rd Avenue, Suite 100, Peoria, AZ, USA, 85383
Taronis Fuels Inc is a renewable fuel and power generation company. It is a holding company of various gas and welding supply companies. It supplies industrial gases and welding equipment and services to the retail and wholesale metalworking and manufacturing industries. The company also sells and distributes a synthetic gas namely, MagneGas which is a renewable alternative cutting fuel. It has retail locations located throughout California, Texas, Louisiana and Florida.
Executives
Scott Mahoney director, officer: Chief Executive Officer 4800 NORTH SCOTTSDALE ROAD SUITE 1400 SCOTTSDALE AZ 85251
Dingess, Robert L. director 150 RAINVILLE ROAD TARPON SPRINGS FL 34689
Tyler B. Wilson officer: CFO/Treasurer/Secretary P.O. BOX 8129 ASPEN CO 81612
Kevin Pollack director 150 RAINVILLE ROAD, TARPON SPRINGS FL 34689
Staunton William W Iii director

Taronis Fuels (Taronis Fuels) Headlines

From GuruFocus

Taronis Fuels Buys Out Royalty Obligations

By Marketwired Marketwired 12-02-2020

TARONIS FUELS STOCK PRICE

By GuruFocusNews GuruFocusNews 12-23-2021

Taronis Fuels Releases Third Quarter Results of Operations

By Marketwired Marketwired 11-19-2020

Taronis Fuels Provides Business Update

By Marketwired Marketwired 12-22-2020

Taronis Fuels Completes Reverse Split

By Marketwired Marketwired 12-30-2020

Taronis Fuels Releases Sustainability Impact Study

By Marketwired Marketwired 12-16-2020

Taronis Fuels Appoints Chief Financial Officer

By Marketwired Marketwired 12-28-2020