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Salada Foods Jamaica (XJAM:SALF) Gross Margin % : 31.27% (As of Sep. 2023)


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What is Salada Foods Jamaica Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Salada Foods Jamaica's Gross Profit for the three months ended in Sep. 2023 was JMD136 Mil. Salada Foods Jamaica's Revenue for the three months ended in Sep. 2023 was JMD436 Mil. Therefore, Salada Foods Jamaica's Gross Margin % for the quarter that ended in Sep. 2023 was 31.27%.

Warning Sign:

Salada Foods Jamaica Ltd gross margin has been in long-term decline. The average rate of decline per year is -3.5%.


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

XJAM:SALF' s Gross Margin % Range Over the Past 10 Years
Min: 25.26   Med: 31.26   Max: 38.4
Current: 30.34


During the past 13 years, the highest Gross Margin % of Salada Foods Jamaica was 38.40%. The lowest was 25.26%. And the median was 31.26%.

XJAM:SALF's Gross Margin % is ranked better than
62.67% of 1808 companies
in the Consumer Packaged Goods industry
Industry Median: 25.085 vs XJAM:SALF: 30.34

Salada Foods Jamaica had a gross margin of 31.27% for the quarter that ended in Sep. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Salada Foods Jamaica was -3.50% per year.


Salada Foods Jamaica Gross Margin % Historical Data

The historical data trend for Salada Foods Jamaica'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.

Salada Foods Jamaica Gross Margin % Chart

Salada Foods Jamaica Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 32.47 27.65 30.36 30.83 30.33

Salada Foods Jamaica Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
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 31.70 31.79 30.97 26.41 31.27

Competitive Comparison of Salada Foods Jamaica's Gross Margin %

For the Packaged Foods subindustry, Salada Foods Jamaica'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.


Salada Foods Jamaica's Gross Margin % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Salada Foods Jamaica's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Salada Foods Jamaica's Gross Margin % falls into.



Salada Foods Jamaica Gross Margin % Calculation

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

Salada Foods Jamaica's Gross Margin for the fiscal year that ended in Sep. 2023 is calculated as

Gross Margin % (A: Sep. 2023 )=Gross Profit (A: Sep. 2023 ) / Revenue (A: Sep. 2023 )
=425 / 1400.888
=(Revenue - Cost of Goods Sold) / Revenue
=(1400.888 - 975.931) / 1400.888
=30.33 %

Salada Foods Jamaica's Gross Margin for the quarter that ended in Sep. 2023 is calculated as


Gross Margin % (Q: Sep. 2023 )=Gross Profit (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=136.3 / 435.703
=(Revenue - Cost of Goods Sold) / Revenue
=(435.703 - 299.444) / 435.703
=31.27 %

* 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.


Salada Foods Jamaica  (XJAM:SALF) 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

Salada Foods Jamaica had a gross margin of 31.27% for the quarter that ended in Sep. 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.


Salada Foods Jamaica Gross Margin % Related Terms

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Salada Foods Jamaica (XJAM:SALF) Business Description

Traded in Other Exchanges
N/A
Address
20 Bell Road, P.O. Box 71, Kingston, JAM, 11
Salada Foods Jamaica Ltd is engaged in the manufacture and sale of instant coffee and roasted and ground coffee beans and other consumer products. Its products include Jamaica Mountain Peak an Instant Coffee prepared from freshly roasted and ground Arabica Beans from which the solubles are extracted and spray-driedIt has two geographic segments Local and Export, and the majority of the revenue comes from the Local.

Salada Foods Jamaica (XJAM:SALF) Headlines

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