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Kenon Holdings (Kenon Holdings) Gross Margin % : 11.58% (As of Dec. 2023)


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What is Kenon Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Kenon Holdings's Gross Profit for the three months ended in Dec. 2023 was $17.5 Mil. Kenon Holdings's Revenue for the three months ended in Dec. 2023 was $150.8 Mil. Therefore, Kenon Holdings's Gross Margin % for the quarter that ended in Dec. 2023 was 11.58%.

Warning Sign:

Kenon Holdings Ltd gross margin has been in long-term decline. The average rate of decline per year is -4.5%.


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

KEN' s Gross Margin % Range Over the Past 10 Years
Min: 14.15   Med: 18.58   Max: 23.11
Current: 17.27


During the past 12 years, the highest Gross Margin % of Kenon Holdings was 23.11%. The lowest was 14.15%. And the median was 18.58%.

KEN's Gross Margin % is ranked worse than
76.84% of 393 companies
in the Utilities - Independent Power Producers industry
Industry Median: 34.68 vs KEN: 17.27

Kenon Holdings had a gross margin of 11.58% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Kenon Holdings was -4.50% per year.


Kenon Holdings Gross Margin % Historical Data

The historical data trend for Kenon 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.

Kenon Holdings Gross Margin % Chart

Kenon Holdings Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 23.11 18.44 20.16 17.40 17.27

Kenon Holdings Quarterly Data
Mar19 Jun19 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 15.76 20.41 11.52 23.14 11.58

Competitive Comparison of Kenon Holdings's Gross Margin %

For the Utilities - Independent Power Producers subindustry, Kenon 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.


Kenon Holdings's Gross Margin % Distribution in the Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, Kenon Holdings's Gross Margin % distribution charts can be found below:

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



Kenon Holdings Gross Margin % Calculation

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

Kenon Holdings'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 )
=119.5 / 691.796
=(Revenue - Cost of Goods Sold) / Revenue
=(691.796 - 572.337) / 691.796
=17.27 %

Kenon Holdings'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 )
=17.5 / 150.796
=(Revenue - Cost of Goods Sold) / Revenue
=(150.796 - 133.337) / 150.796
=11.58 %

* 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.


Kenon Holdings  (NYSE:KEN) 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

Kenon Holdings had a gross margin of 11.58% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage


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.


Kenon Holdings Gross Margin % Related Terms

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Kenon Holdings (Kenon Holdings) Business Description

Traded in Other Exchanges
Address
1 Temasek Avenue, No. 37-02B, Millenia Tower, Singapore, SGP, 039192
Kenon Holdings Ltd is a holding company that operates dynamic, growth-oriented, businesses. The company's operating segments include OPC; CPV Group; Quantum and ZIM. It generates maximum revenue from the OPC segment. OPC operates in the Israeli electricity generation sector, including the initiation, development, construction, and operation of power plants and the sale and supply of electricity. Geographically, it derives a majority of revenue from Israel.