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Daiichi Kigenso Kagaku-Kogyo Co (TSE:4082) Gross Margin % : 19.65% (As of Mar. 2024)


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What is Daiichi Kigenso Kagaku-Kogyo Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Daiichi Kigenso Kagaku-Kogyo Co's Gross Profit for the three months ended in Mar. 2024 was 円1,668 Mil. Daiichi Kigenso Kagaku-Kogyo Co's Revenue for the three months ended in Mar. 2024 was 円8,487 Mil. Therefore, Daiichi Kigenso Kagaku-Kogyo Co's Gross Margin % for the quarter that ended in Mar. 2024 was 19.65%.

Warning Sign:

Daiichi Kigenso Kagaku-Kogyo Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -3.1%.


The historical rank and industry rank for Daiichi Kigenso Kagaku-Kogyo Co's Gross Margin % or its related term are showing as below:

TSE:4082' s Gross Margin % Range Over the Past 10 Years
Min: 23.6   Med: 29.45   Max: 36.01
Current: 23.6


During the past 13 years, the highest Gross Margin % of Daiichi Kigenso Kagaku-Kogyo Co was 36.01%. The lowest was 23.60%. And the median was 29.45%.

TSE:4082's Gross Margin % is ranked better than
52.82% of 1507 companies
in the Chemicals industry
Industry Median: 22.7 vs TSE:4082: 23.60

Daiichi Kigenso Kagaku-Kogyo Co had a gross margin of 19.65% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Daiichi Kigenso Kagaku-Kogyo Co was -3.10% per year.


Daiichi Kigenso Kagaku-Kogyo Co Gross Margin % Historical Data

The historical data trend for Daiichi Kigenso Kagaku-Kogyo Co'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.

Daiichi Kigenso Kagaku-Kogyo Co Gross Margin % Chart

Daiichi Kigenso Kagaku-Kogyo Co Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 28.30 27.07 27.89 29.67 23.60

Daiichi Kigenso Kagaku-Kogyo Co Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 22.87 20.65 26.74 26.78 19.65

Competitive Comparison of Daiichi Kigenso Kagaku-Kogyo Co's Gross Margin %

For the Specialty Chemicals subindustry, Daiichi Kigenso Kagaku-Kogyo Co'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.


Daiichi Kigenso Kagaku-Kogyo Co's Gross Margin % Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Daiichi Kigenso Kagaku-Kogyo Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Daiichi Kigenso Kagaku-Kogyo Co's Gross Margin % falls into.



Daiichi Kigenso Kagaku-Kogyo Co Gross Margin % Calculation

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

Daiichi Kigenso Kagaku-Kogyo Co's Gross Margin for the fiscal year that ended in Mar. 2024 is calculated as

Gross Margin % (A: Mar. 2024 )=Gross Profit (A: Mar. 2024 ) / Revenue (A: Mar. 2024 )
=8313 / 35220
=(Revenue - Cost of Goods Sold) / Revenue
=(35220 - 26907) / 35220
=23.60 %

Daiichi Kigenso Kagaku-Kogyo Co's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=1668 / 8487
=(Revenue - Cost of Goods Sold) / Revenue
=(8487 - 6819) / 8487
=19.65 %

* 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.


Daiichi Kigenso Kagaku-Kogyo Co  (TSE:4082) 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

Daiichi Kigenso Kagaku-Kogyo Co had a gross margin of 19.65% for the quarter that ended in Mar. 2024 => 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.


Daiichi Kigenso Kagaku-Kogyo Co Gross Margin % Related Terms

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Daiichi Kigenso Kagaku-Kogyo Co (TSE:4082) Business Description

Traded in Other Exchanges
N/A
Address
6-38 Hirabayashi Minami 1-Chome, Suminoe-ku, Osaka, JPN, 559-0025
Daiichi Kigenso Kagaku-Kogyo Co Ltd is a Japan-based chemical manufacturer. The company is mainly engaged in the research, production, and sale of chemicals and materials for fuel cells and catalysts. Products offered by the company include zirconium oxide, stabilized zirconium oxide, composite oxide, zirconium compounds, zirconia sol, rare-earth compounds, cesium compounds, cesium flux, and wire ring.

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