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LZAGY (Lonza Group) Gross Profit : $2,220 Mil (TTM As of Jun. 2024)


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What is Lonza Group Gross Profit?

Lonza Group's gross profit for the six months ended in Jun. 2024 was $1,249 Mil. Lonza Group's gross profit for the trailing twelve months (TTM) ended in Jun. 2024 was $2,220 Mil.

Gross Margin % is calculated as gross profit divided by its revenue. Lonza Group's gross profit for the six months ended in Jun. 2024 was $1,249 Mil. Lonza Group's Revenue for the six months ended in Jun. 2024 was $3,420 Mil. Therefore, Lonza Group's Gross Margin % for the quarter that ended in Jun. 2024 was 36.51%.

Lonza Group had a gross margin of 36.51% for the quarter that ended in Jun. 2024 => Competition eroding margins

During the past 13 years, the highest Gross Margin % of Lonza Group was 41.91%. The lowest was 28.90%. And the median was 37.08%.

Warning Sign:

Lonza Group Ltd gross margin has been in long-term decline. The average rate of decline per year is -4.4%.


Lonza Group Gross Profit Historical Data

The historical data trend for Lonza Group's Gross Profit 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.

Lonza Group Gross Profit Chart

Lonza Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Profit
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1,794.22 2,080.14 2,290.99 2,617.00 2,252.54

Lonza Group Semi-Annual Data
Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
Gross Profit 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 1,232.74 1,333.19 1,230.56 971.32 1,248.60

Competitive Comparison of Lonza Group's Gross Profit

For the Diagnostics & Research subindustry, Lonza Group's Gross Profit, along with its competitors' market caps and Gross Profit 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.


Lonza Group's Gross Profit Distribution in the Medical Diagnostics & Research Industry

For the Medical Diagnostics & Research industry and Healthcare sector, Lonza Group's Gross Profit distribution charts can be found below:

* The bar in red indicates where Lonza Group's Gross Profit falls into.



Lonza Group Gross Profit Calculation

Gross Profit is the different between the sale prices and the cost of buying or producing the goods.

Lonza Group's Gross Profit for the fiscal year that ended in Dec. 2023 is calculated as

Gross Profit (A: Dec. 2023 )=Revenue - Cost of Goods Sold
=7767.114 - 5514.57
=2,253

Lonza Group's Gross Profit for the quarter that ended in Jun. 2024 is calculated as

Gross Profit (Q: Jun. 2024 )=Revenue - Cost of Goods Sold
=3420.228 - 2171.627
=1,249

Gross Profit for the trailing twelve months (TTM) ended in Jun. 2024 adds up the semi-annually data reported by the company within the most recent 12 months, which was $2,220 Mil.

Gross Profit is the numerator in the calculation of Gross Margin.

Lonza Group's Gross Margin % for the quarter that ended in Jun. 2024 is calculated as

Gross Margin % (Q: Jun. 2024 )=Gross Profit (Q: Jun. 2024 ) / Revenue (Q: Jun. 2024 )
=(Revenue - Cost of Goods Sold) / Revenue
=1,249 / 3420.228
=36.51 %

* 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.


Lonza Group  (OTCPK:LZAGY) Gross Profit 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

Lonza Group had a gross margin of 36.51% for the quarter that ended in Jun. 2024 => Competition eroding margins


Lonza Group Gross Profit Related Terms

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Lonza Group Business Description

Address
Muenchensteinerstrasse 38, Basel, CHE, CH-4002
Lonza Group is a contract development and manufacturing organization, or CDMO. It operates under four segments: small molecules, biologics, cell & gene, and capsules & health ingredients. Lonza derives its revenue primarily from long-term supply agreements with pharmaceutical customers. The company provides a range of development and manufacturing services throughout the entire lifecycle of a product from drug research to commercial supply. The majority of Lonza's customers are pharmaceutical and biotechnology companies, academic institutions, and government research organizations.