Gross Margin % is calculated as gross profit divided by its revenue. DMC Global's Gross Profit for the
three
months ended in Dec. 2023 was $45.4 Mil. DMC Global's Revenue for the
three
months ended in Dec. 2023 was $174.0 Mil. Therefore, DMC Global's Gross Margin % for the quarter that ended in Dec. 2023 was 26.06%.
Warning Sign:
DMC Global Inc gross margin has been in long-term decline. The average rate of decline per year is -4.3%.
The historical rank and industry rank for DMC Global's Gross Margin % or its related term are showing as below:
BOOM'
s Gross Margin % Range Over the Past 10 Years
Min: 21.34 Med: 28.92 Max: 36.45
Current: 29.49
During the past 13 years, the highestGross Margin % of DMC Global was 36.45%. The lowest was 21.34%. And the median was 28.92%.
BOOM's Gross Margin % is ranked better than 52.65% of 925
companies
in the Oil & Gas industry
Industry Median: 27.87
vs BOOM: 29.49
DMC Global had a gross margin of 26.06% for the quarter that ended in Dec. 2023 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for DMC Global was -4.30% per year.
DMC Global Gross Margin % Historical Data
The historical data trend for DMC Global'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.
Competitive Comparison of DMC Global's Gross Margin %
For the Oil & Gas Equipment & Services subindustry, DMC Global'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.
DMC Global's Gross Margin % Distribution in the Oil & Gas Industry
For the Oil & Gas industry and Energy sector, DMC Global's Gross Margin % distribution charts can be found below:
* The bar in red indicates where DMC Global's Gross Margin % falls into.
* 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.
DMC Global (NAS:BOOM) 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
DMC Global had a gross margin of 26.06% 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.
DMC Global Gross Margin % Related Terms
Thank you for viewing the detailed overview of DMC Global's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.
DMC Global Inc operates a diversified family of technical product and process businesses serving the energy, industrial and infrastructure markets. Its business is organized into three segments: Arcadia, DynaEnergetics, and NobelClad. Arcadia is a provider of architectural building products and operates in two divisions - Commercial and Residential. NobelClad is involved in the production of explosion-welded clad metal plates for use in the construction of corrosion-resistant industrial processing equipment and specialized transition joints. DynaEnergetics driver, designs manufactures and distributes products utilized by the oil and gas industry principally for the perforation of oil and gas wells.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
BOOM has been successfully added to your 