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4Front Ventures (XCNQ:FFNT) Gross Margin % : 39.66% (As of Dec. 2023)


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What is 4Front Ventures Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. 4Front Ventures's Gross Profit for the three months ended in Dec. 2023 was C$11.2 Mil. 4Front Ventures's Revenue for the three months ended in Dec. 2023 was C$28.1 Mil. Therefore, 4Front Ventures's Gross Margin % for the quarter that ended in Dec. 2023 was 39.66%.


The historical rank and industry rank for 4Front Ventures's Gross Margin % or its related term are showing as below:

XCNQ:FFNT' s Gross Margin % Range Over the Past 10 Years
Min: 36.37   Med: 47.76   Max: 73.12
Current: 36.37


During the past 13 years, the highest Gross Margin % of 4Front Ventures was 73.12%. The lowest was 36.37%. And the median was 47.76%.

XCNQ:FFNT's Gross Margin % is ranked worse than
68.99% of 990 companies
in the Drug Manufacturers industry
Industry Median: 46.705 vs XCNQ:FFNT: 36.37

4Front Ventures had a gross margin of 39.66% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for 4Front Ventures was 0.00% per year.


4Front Ventures Gross Margin % Historical Data

The historical data trend for 4Front Ventures'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.

4Front Ventures Gross Margin % Chart

4Front Ventures Annual Data
Trend Apr14 Apr15 Apr16 Apr17 Apr18 Apr19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 73.12 63.35 47.24 47.76 47.10

4Front Ventures Quarterly Data
Jan19 Apr19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 26.14 36.17 31.26 40.35 39.66

Competitive Comparison of 4Front Ventures's Gross Margin %

For the Drug Manufacturers - Specialty & Generic subindustry, 4Front Ventures'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.


4Front Ventures's Gross Margin % Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, 4Front Ventures's Gross Margin % distribution charts can be found below:

* The bar in red indicates where 4Front Ventures's Gross Margin % falls into.



4Front Ventures Gross Margin % Calculation

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

4Front Ventures'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 )
=61.6 / 130.719
=(Revenue - Cost of Goods Sold) / Revenue
=(130.719 - 69.15) / 130.719
=47.10 %

4Front Ventures's Gross Margin for the quarter that ended in Dec. 2023 is calculated as


Gross Margin % (Q: Dec. 2023 )=Gross Profit (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=11.2 / 28.145
=(Revenue - Cost of Goods Sold) / Revenue
=(28.145 - 16.983) / 28.145
=39.66 %

* 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.


4Front Ventures  (XCNQ:FFNT) 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

4Front Ventures had a gross margin of 39.66% for the quarter that ended in Dec. 2023 => 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.


4Front Ventures Gross Margin % Related Terms

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4Front Ventures (XCNQ:FFNT) Business Description

Traded in Other Exchanges
Address
5060 North 40th Street, Suite 120, Phoenix, AZ, USA, 85018
4Front Ventures Corp is a Canadian-based company. It is engaged in the cultivation, processing, extracting, manufacturing, and distribution of cannabis products. It operates in two segments: THC Cannabis and CBD Wellness. The THC Cannabis segment engages in the production and cultivation of THC cannabis, manufacturing and distribution of cannabis products to own dispensaries and third-party retail customers. The CBD Wellness segment encompasses the production and sale of CBD products to third-party customers.

4Front Ventures (XCNQ:FFNT) Headlines

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