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Zurvita Holdings (Zurvita Holdings) Gross Margin % : 20.37% (As of Jan. 2013)


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What is Zurvita Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Zurvita Holdings's Gross Profit for the three months ended in Jan. 2013 was $1.48 Mil. Zurvita Holdings's Revenue for the three months ended in Jan. 2013 was $7.27 Mil. Therefore, Zurvita Holdings's Gross Margin % for the quarter that ended in Jan. 2013 was 20.37%.


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


ZRVT's Gross Margin % is not ranked *
in the Consumer Packaged Goods industry.
Industry Median: 25.25
* Ranked among companies with meaningful Gross Margin % only.

Zurvita Holdings had a gross margin of 20.37% for the quarter that ended in Jan. 2013 => Competition eroding margins

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


Zurvita Holdings Gross Margin % Historical Data

The historical data trend for Zurvita Holdings'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.

Zurvita Holdings Gross Margin % Chart

Zurvita Holdings Annual Data
Trend Jul07 Jul08 Jul09 Jul10 Jul11 Jul12
Gross Margin %
Get a 7-Day Free Trial - - 26.72 30.70 17.48

Zurvita Holdings Quarterly Data
Apr08 Jul08 Oct08 Jan09 Apr09 Jul09 Oct09 Jan10 Apr10 Jul10 Oct10 Jan11 Apr11 Jul11 Oct11 Jan12 Apr12 Jul12 Oct12 Jan13
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 13.54 20.72 18.15 19.21 20.37

Competitive Comparison of Zurvita Holdings's Gross Margin %

For the Household & Personal Products subindustry, Zurvita Holdings'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.


Zurvita Holdings's Gross Margin % Distribution in the Consumer Packaged Goods Industry

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

* The bar in red indicates where Zurvita Holdings's Gross Margin % falls into.



Zurvita Holdings Gross Margin % Calculation

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

Zurvita Holdings's Gross Margin for the fiscal year that ended in Jul. 2012 is calculated as

Gross Margin % (A: Jul. 2012 )=Gross Profit (A: Jul. 2012 ) / Revenue (A: Jul. 2012 )
=1.4 / 7.894
=(Revenue - Cost of Goods Sold) / Revenue
=(7.894 - 6.514) / 7.894
=17.48 %

Zurvita Holdings's Gross Margin for the quarter that ended in Jan. 2013 is calculated as


Gross Margin % (Q: Jan. 2013 )=Gross Profit (Q: Jan. 2013 ) / Revenue (Q: Jan. 2013 )
=1.5 / 7.274
=(Revenue - Cost of Goods Sold) / Revenue
=(7.274 - 5.792) / 7.274
=20.37 %

* 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.


Zurvita Holdings  (OTCPK:ZRVT) 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

Zurvita Holdings had a gross margin of 20.37% for the quarter that ended in Jan. 2013 => 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.


Zurvita Holdings Gross Margin % Related Terms

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Zurvita Holdings (Zurvita Holdings) Business Description

Traded in Other Exchanges
N/A
Address
800 Gessner Road, Houston, TX, USA, 77024
Zurvita Holdings Inc is a Delaware Corporation. The company is a provider of products and benefits through the use of a multi-level marketing distribution channel which consist of independent business operators. The Company's products include health-related membership programs, residential energy rate plans, identity theft and consumer credit services, as well as numerous low cost ancillary products. It also markets numerous low cost ancillary products such as home warranty, legal assistance and restoration services for identity theft and consumer credit.

Zurvita Holdings (Zurvita Holdings) Headlines