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Rubicon Organics (TSXV:ROMJ) Gross Margin % : 28.73% (As of Sep. 2024)


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What is Rubicon Organics Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Rubicon Organics's Gross Profit for the three months ended in Sep. 2024 was C$3.88 Mil. Rubicon Organics's Revenue for the three months ended in Sep. 2024 was C$13.50 Mil. Therefore, Rubicon Organics's Gross Margin % for the quarter that ended in Sep. 2024 was 28.73%.


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

TSXV:ROMJ' s Gross Margin % Range Over the Past 10 Years
Min: -33.94   Med: 6.66   Max: 38.87
Current: 32.22


During the past 8 years, the highest Gross Margin % of Rubicon Organics was 38.87%. The lowest was -33.94%. And the median was 6.66%.

TSXV:ROMJ's Gross Margin % is ranked worse than
75.34% of 969 companies
in the Drug Manufacturers industry
Industry Median: 47.02 vs TSXV:ROMJ: 32.22

Rubicon Organics had a gross margin of 28.73% for the quarter that ended in Sep. 2024 => Competition eroding margins

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


Rubicon Organics Gross Margin % Historical Data

The historical data trend for Rubicon Organics'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.

Rubicon Organics Gross Margin % Chart

Rubicon Organics Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial - -7.07 6.66 38.87 32.76

Rubicon Organics 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 19.26 40.48 26.54 33.45 28.73

Competitive Comparison of Rubicon Organics's Gross Margin %

For the Drug Manufacturers - Specialty & Generic subindustry, Rubicon Organics'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.


Rubicon Organics's Gross Margin % Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Rubicon Organics's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Rubicon Organics's Gross Margin % falls into.



Rubicon Organics Gross Margin % Calculation

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

Rubicon Organics'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 )
=13.1 / 40.116
=(Revenue - Cost of Goods Sold) / Revenue
=(40.116 - 26.975) / 40.116
=32.76 %

Rubicon Organics'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 )
=3.9 / 13.499
=(Revenue - Cost of Goods Sold) / Revenue
=(13.499 - 9.621) / 13.499
=28.73 %

* 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.


Rubicon Organics  (TSXV:ROMJ) 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

Rubicon Organics had a gross margin of 28.73% 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.


Rubicon Organics Gross Margin % Related Terms

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


Rubicon Organics Business Description

Traded in Other Exchanges
Address
744 West Hastings Street, Unit 505, Vancouver, BC, CAN, V6C 1A5
Rubicon Organics Inc is engaged in the business of the production and sale of cannabis in Canada. The Company produces and processes organic cannabis at its wholly-owned, federally licensed facility in Delta, British Columbia which it sells under its wholly owned and other licensed brands such as Lab Theory, Wildflower, Homestead Cannabis Supply, 1964 Supply Co, and Simply Bare Organic.
Executives
Lenard Boggio Director
John Pigott Director
Eric Savics 10% Security Holder
Karen Proud Director
Michael Erik Detlefsen Director
Margaret Brodie Director, Senior Officer
Jesse Mcconnell 10% Security Holder, Director, Senior Officer
Pierre Lassonde 10% Security Holder
Peter Doig Senior Officer
John Bryan Disher Director

Rubicon Organics Headlines

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