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Powell Industries Gross Margin %

: 14.07% (As of Jun. 2022)
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Gross Margin % is calculated as gross profit divided by its revenue. Powell Industries's Gross Profit for the three months ended in Jun. 2022 was $19.1 Mil. Powell Industries's Revenue for the three months ended in Jun. 2022 was $135.5 Mil. Therefore, Powell Industries's Gross Margin % for the quarter that ended in Jun. 2022 was 14.07%.


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

POWL' s Gross Margin % Range Over the Past 10 Years
Min: 12.82   Med: 17.53   Max: 21.61
Current: 14.83


During the past 13 years, the highest Gross Margin % of Powell Industries was 21.61%. The lowest was 12.82%. And the median was 17.53%.

POWL's Gross Margin % is ranked worse than
81.33% of 2699 companies
in the Industrial Products industry
Industry Median: 26.30 vs POWL: 14.83

Powell Industries had a gross margin of 14.07% for the quarter that ended in Jun. 2022 => No sustainable competitive advantage

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


Powell Industries Gross Margin % Historical Data

The historical data trend for Powell Industries'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.

Powell Industries Annual Data
Trend Sep12 Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21
Gross Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.82 14.56 16.82 18.24 15.95

Powell Industries Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Gross Margin % 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 Premium Member Only Premium Member Only Premium Member Only 14.82 17.36 12.61 14.93 14.07

Competitive Comparison

For the Electrical Equipment & Parts subindustry, Powell Industries'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.

   

Powell Industries Gross Margin % Distribution

For the Industrial Products industry and Industrials sector, Powell Industries's Gross Margin % distribution charts can be found below:

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



Powell Industries Gross Margin % Calculation

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

Powell Industries's Gross Margin for the fiscal year that ended in Sep. 2021 is calculated as

Gross Margin % (A: Sep. 2021 )=Gross Profit (A: Sep. 2021 ) / Revenue (A: Sep. 2021 )
=75.1 / 470.559
=(Revenue - Cost of Goods Sold) / Revenue
=(470.559 - 395.496) / 470.559
=15.95 %

Powell Industries's Gross Margin for the quarter that ended in Jun. 2022 is calculated as


Gross Margin % (Q: Jun. 2022 )=Gross Profit (Q: Jun. 2022 ) / Revenue (Q: Jun. 2022 )
=19.1 / 135.483
=(Revenue - Cost of Goods Sold) / Revenue
=(135.483 - 116.424) / 135.483
=14.07 %

* 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.


Powell Industries  (NAS:POWL) 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

Powell Industries had a gross margin of 14.07% for the quarter that ended in Jun. 2022 => 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.


Powell Industries Gross Margin % Related Terms

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


Powell Industries Business Description

Powell Industries logo
Traded in Other Exchanges
Address
8550 Mosley Road, Houston, TX, USA, 77075-1180
Powell Industries Inc is a United States-based company that develops, designs, manufactures, and services custom-engineered equipment and systems for electrical energy distribution, control, and monitoring. The company's principal products comprise integrated power control room substations, custom-engineered modules, electrical houses, traditional and arc-resistant distribution switchgear and control gear, and so on. These products are applied in oil and gas refining, offshore oil and gas production, petrochemical, pipeline, terminal, mining and metals, light-rail traction power, electric utility, pulp and paper, and other heavy industrial markets. The company generates the majority of its sales from the United States.
Executives
Stacey John director C/O HARMAN INTERNATIONAL 1101 PENNSYLVANIA AVE, NW #1010 WASHINGTON DC 20004
Curtis Katheryn Baucom director 8550 MOSLEY ROAD HOUSTON TX 77075
Metcalf Michael William officer: Exec Vice President 8550 MOSLEY ROAD HOUSTON TX 77075
Mcgill James W director 8550 MOSLEY ROAD HOUSTON TX 77075
Elders Perry L director 8550 MOSLEY ROAD HOUSTON TX 77075
Clelland William N. director, other: ADVISORY DIRECTOR 8550 MOSLEY ROAD HOUSTON TX 77075
Williams Richard E director 8550 MOSLEY ROAD HOUSTON X1 77075
Cope Brett Alan officer: Sr VP, COO 8550 MOSLEY ROAD HOUSTON TX 77075
Dial Neil officer: COO 8550 MOSLEY ROAD HOUSTON TX 77075
Power One Inc officer: COO 740 CALLE PLANO CAMARILLO CA 93012
White John David director 8550 MOSLEY ROAD HOUSTON TX 77075
Lucas Michael Allan officer: President & CEO 13131 DAIRY ASHFORD, SUITE 600 SUGAR LAND TX 77478
Rozzell Scott E director
Hancock Bonnie V director P O BOX 12818 HOUSTON TX 77075
Cragg Christopher E director

Powell Industries Headlines

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