Ormat Industries (XTAE:ORMT) Gross Profit : ₪710 Mil (TTM As of Sep. 2014)

Ormat Industries Gross Profit Chart

Ormat Industries Quarterly Data
	Mar10	Jun10	Dec10	Mar11	Jun11	Sep11	Dec11	Mar12	Jun12	Sep12	Dec12	Mar13	Jun13	Sep13	Dec13	Mar14	Jun14	Sep14
Gross Profit	Get a 7-Day Free Trial													147.18	158.83	197.91	147.92	205.37

Competitive Comparison of Ormat Industries's Gross Profit

For the Utilities - Independent Power Producers subindustry, Ormat Industries'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.

Ormat Industries's Gross Profit Distribution in the Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, Ormat Industries's Gross Profit distribution charts can be found below:

* The bar in red indicates where Ormat Industries's Gross Profit falls into.

Ormat Industries Gross Profit Calculation

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

Ormat Industries's Gross Profit for the fiscal year that ended in Dec. 2013 is calculated as

Ormat Industries's Gross Profit for the quarter that ended in Sep. 2014 is calculated as

Gross Profit for the trailing twelve months (TTM) ended in Sep. 2014 adds up the quarterly data reported by the company within the most recent 12 months, which was ₪710 Mil.

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

Ormat Industries's Gross Margin % for the quarter that ended in Sep. 2014 is calculated as

* 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.

Ormat Industries  (XTAE:ORMT) 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

Ormat Industries had a gross margin of 39.56% for the quarter that ended in Sep. 2014 => Competition eroding margins

Ormat Industries Gross Profit Related Terms

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Ormat Industries (XTAE:ORMT) Business Description