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WCCPA.PFD (WESCO International) Gross Margin % : 22.09% (As of Sep. 2024)


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What is WESCO International Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. WESCO International's Gross Profit for the three months ended in Sep. 2024 was $1,212.70 Mil. WESCO International's Revenue for the three months ended in Sep. 2024 was $5,489.40 Mil. Therefore, WESCO International's Gross Margin % for the quarter that ended in Sep. 2024 was 22.09%.


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

WCCpA.PFD' s Gross Margin % Range Over the Past 10 Years
Min: 18.88   Med: 19.81   Max: 21.76
Current: 21.66


During the past 13 years, the highest Gross Margin % of WESCO International was 21.76%. The lowest was 18.88%. And the median was 19.81%.

WCCpA.PFD's Gross Margin % is ranked worse than
56.86% of 153 companies
in the Industrial Distribution industry
Industry Median: 23.43 vs WCCpA.PFD: 21.66

WESCO International had a gross margin of 22.09% for the quarter that ended in Sep. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for WESCO International was 3.30% per year.


WESCO International Gross Margin % Historical Data

The historical data trend for WESCO International'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.

WESCO International Gross Margin % Chart

WESCO International 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 18.92 18.88 20.82 21.76 21.64

WESCO International 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 21.65 21.39 21.27 21.86 22.09

Competitive Comparison of WESCO International's Gross Margin %

For the Industrial Distribution subindustry, WESCO International'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.


WESCO International's Gross Margin % Distribution in the Industrial Distribution Industry

For the Industrial Distribution industry and Industrials sector, WESCO International's Gross Margin % distribution charts can be found below:

* The bar in red indicates where WESCO International's Gross Margin % falls into.



WESCO International Gross Margin % Calculation

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

WESCO International'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 )
=4843.7 / 22385.2
=(Revenue - Cost of Goods Sold) / Revenue
=(22385.2 - 17541.5) / 22385.2
=21.64 %

WESCO International'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 )
=1212.7 / 5489.4
=(Revenue - Cost of Goods Sold) / Revenue
=(5489.4 - 4276.7) / 5489.4
=22.09 %

* 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.


WESCO International  (NYSE:WCCpA.PFD) 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

WESCO International had a gross margin of 22.09% 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.


WESCO International Gross Margin % Related Terms

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WESCO International Business Description

Traded in Other Exchanges
Address
225 West Station Square Drive, Suite 700, Pittsburgh, PA, USA, 15219
Wesco International is an industrial distributor that has three reportable segments, electrical and electronic solutions, communications and security solutions, and utility and broadband solutions. The company offers more than 1.5 million products to its 140,000 active customers through a distribution network of 800 branches, warehouses, and sales offices, including 43 distribution centers. Wesco generates approximately 74% of its sales in the United States, but it has a global reach, with operations in 50 other countries.