KLX Energy Services Holdings (KLX Energy Services Holdings) Gross Margin % : 21.68% (As of Dec. 2023)

KLX Energy Services Holdings Gross Margin % Chart

KLX Energy Services Holdings Quarterly Data
	Jan19	Apr19	Jul19	Oct19	Jan20	Apr20	Jul20	Oct20	Jan21	Apr21	Jul21	Oct21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Gross Margin %	Get a 7-Day Free Trial															25.39	24.50	25.94	24.66	21.68

Competitive Comparison of KLX Energy Services Holdings's Gross Margin %

For the Oil & Gas Equipment & Services subindustry, KLX Energy Services 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.

KLX Energy Services Holdings's Gross Margin % Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, KLX Energy Services Holdings's Gross Margin % distribution charts can be found below:

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

KLX Energy Services Holdings Gross Margin % Calculation

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

KLX Energy Services Holdings's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

KLX Energy Services Holdings's Gross Margin for the quarter that ended in Dec. 2023 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.

KLX Energy Services Holdings  (NAS:KLXE) 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

KLX Energy Services Holdings had a gross margin of 21.68% 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.

KLX Energy Services Holdings Gross Margin % Related Terms

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KLX Energy Services Holdings (KLX Energy Services Holdings) Business Description