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Sendas Distribuidora (Sendas Distribuidora) Gross Margin % : 16.27% (As of Mar. 2024)


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What is Sendas Distribuidora Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Sendas Distribuidora's Gross Profit for the three months ended in Mar. 2024 was $563 Mil. Sendas Distribuidora's Revenue for the three months ended in Mar. 2024 was $3,458 Mil. Therefore, Sendas Distribuidora's Gross Margin % for the quarter that ended in Mar. 2024 was 16.27%.

Warning Sign:

Sendas Distribuidora SA gross margin has been in long-term decline. The average rate of decline per year is -1.6%.


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

ASAI' s Gross Margin % Range Over the Past 10 Years
Min: 15.99   Med: 16.44   Max: 18.13
Current: 16.31


During the past 7 years, the highest Gross Margin % of Sendas Distribuidora was 18.13%. The lowest was 15.99%. And the median was 16.44%.

ASAI's Gross Margin % is ranked worse than
71.29% of 310 companies
in the Retail - Defensive industry
Industry Median: 22.835 vs ASAI: 16.31

Sendas Distribuidora had a gross margin of 16.27% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Sendas Distribuidora was -1.60% per year.


Sendas Distribuidora Gross Margin % Historical Data

The historical data trend for Sendas Distribuidora'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.

Sendas Distribuidora Gross Margin % Chart

Sendas Distribuidora Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial 16.85 16.41 17.05 16.44 16.27

Sendas Distribuidora Quarterly Data
Dec18 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 16.08 16.04 16.22 16.68 16.27

Competitive Comparison of Sendas Distribuidora's Gross Margin %

For the Grocery Stores subindustry, Sendas Distribuidora'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.


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

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

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



Sendas Distribuidora Gross Margin % Calculation

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

Sendas Distribuidora'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 )
=2208.5 / 13572.595
=(Revenue - Cost of Goods Sold) / Revenue
=(13572.595 - 11364.138) / 13572.595
=16.27 %

Sendas Distribuidora's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=562.7 / 3458.372
=(Revenue - Cost of Goods Sold) / Revenue
=(3458.372 - 2895.699) / 3458.372
=16.27 %

* 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.


Sendas Distribuidora  (NYSE:ASAI) 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

Sendas Distribuidora had a gross margin of 16.27% for the quarter that ended in Mar. 2024 => 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.


Sendas Distribuidora Gross Margin % Related Terms

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


Sendas Distribuidora (Sendas Distribuidora) Business Description

Traded in Other Exchanges
Address
Avenida Ayrton Senna, No. 6,000, Lote 2, Pal 48959, Anexo A, Jacarepagua, Rio De Janeiro, RJ, BRA, 22775-005
Sendas Distribuidora SA is involved in the consumer goods business. Its cash and carry operations involve sales of more than 8,000 items of grocery, food, perishable, beverage, wrapping, hygiene, and cleaning products, among others. Its customers include prepared food retailers (including restaurants, pizzerias, and snack bars), end-users (including schools, small businesses, religious institutions, hospitals, and hotels), conventional retailers (such as grocery stores and neighborhood supermarkets), and individuals. Its stores are located throughout 23 Brazilian states.

Sendas Distribuidora (Sendas Distribuidora) Headlines

From GuruFocus

Sendas Files Annual Report on Form 20-F with the SEC

By PRNewswire PRNewswire 05-02-2022