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Loblaw (Loblaw) Gross Margin % : 32.16% (As of Dec. 2023)


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What is Loblaw Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Loblaw's Gross Profit for the three months ended in Dec. 2023 was $3,483 Mil. Loblaw's Revenue for the three months ended in Dec. 2023 was $10,831 Mil. Therefore, Loblaw's Gross Margin % for the quarter that ended in Dec. 2023 was 32.16%.


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

LBLCF' s Gross Margin % Range Over the Past 10 Years
Min: 24.75   Med: 30.37   Max: 31.98
Current: 31.98


During the past 13 years, the highest Gross Margin % of Loblaw was 31.98%. The lowest was 24.75%. And the median was 30.37%.

LBLCF's Gross Margin % is ranked better than
75.32% of 312 companies
in the Retail - Defensive industry
Industry Median: 22.78 vs LBLCF: 31.98

Loblaw had a gross margin of 32.16% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Loblaw was 1.10% per year.


Loblaw Gross Margin % Historical Data

The historical data trend for Loblaw'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.

Loblaw Gross Margin % Chart

Loblaw 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 30.72 30.33 31.47 31.81 31.98

Loblaw Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 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 31.56 32.37 32.22 31.38 32.16

Competitive Comparison of Loblaw's Gross Margin %

For the Grocery Stores subindustry, Loblaw'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.


Loblaw's Gross Margin % Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Loblaw's Gross Margin % distribution charts can be found below:

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



Loblaw Gross Margin % Calculation

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

Loblaw'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 )
=14189.8 / 44371.646
=(Revenue - Cost of Goods Sold) / Revenue
=(44371.646 - 30181.873) / 44371.646
=31.98 %

Loblaw'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 )
=3483.2 / 10831.097
=(Revenue - Cost of Goods Sold) / Revenue
=(10831.097 - 7347.943) / 10831.097
=32.16 %

* 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.


Loblaw  (OTCPK:LBLCF) 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

Loblaw had a gross margin of 32.16% for the quarter that ended in Dec. 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.


Loblaw Gross Margin % Related Terms

Thank you for viewing the detailed overview of Loblaw's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Loblaw (Loblaw) Business Description

Traded in Other Exchanges
Address
1 President’s Choice Circle, Brampton, ON, CAN, L6Y 5S5
Loblaw is Canada's largest retailer, operating 2,500 food retail and pharmacy stores across the country. Its main grocery banners include Loblaw, No Frills, and Maxi, and its pharmacy stores are mostly under the Shoppers Drug Mart banner, which it acquired in 2014. In addition to brand-name offerings, Loblaw offers private-label products under the President's Choice and No Name brands. Beyond retail, Loblaw runs the PC Optimum loyalty program and also offers credit cards and insurance brokerage, which are collectively referred to as financial services. George Weston is Loblaw's controlling shareholder with a 53% stake.

Loblaw (Loblaw) Headlines

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