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Graphic Packaging Holding Co (Graphic Packaging Holding Co) Gross Margin %

: 22.28% (As of Dec. 2023)
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Gross Margin % is calculated as gross profit divided by its revenue. Graphic Packaging Holding Co's Gross Profit for the three months ended in Dec. 2023 was $501 Mil. Graphic Packaging Holding Co's Revenue for the three months ended in Dec. 2023 was $2,249 Mil. Therefore, Graphic Packaging Holding Co's Gross Margin % for the quarter that ended in Dec. 2023 was 22.28%.


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

GPK' s Gross Margin % Range Over the Past 10 Years
Min: 14.97   Med: 18.15   Max: 22.45
Current: 22.45


During the past 13 years, the highest Gross Margin % of Graphic Packaging Holding Co was 22.45%. The lowest was 14.97%. And the median was 18.15%.

GPK's Gross Margin % is ranked better than
51.76% of 369 companies
in the Packaging & Containers industry
Industry Median: 21.66 vs GPK: 22.45

Graphic Packaging Holding Co had a gross margin of 22.28% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Graphic Packaging Holding Co was 5.60% per year.


Graphic Packaging Holding Co Gross Margin % Historical Data

The historical data trend for Graphic Packaging Holding Co'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.

Graphic Packaging Holding Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 17.73 16.77 14.97 19.39 22.45

Graphic Packaging Holding Co Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 20.58 22.97 21.15 23.41 22.28

Competitive Comparison

For the Packaging & Containers subindustry, Graphic Packaging Holding Co'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.


Graphic Packaging Holding Co Gross Margin % Distribution

For the Packaging & Containers industry and Consumer Cyclical sector, Graphic Packaging Holding Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Graphic Packaging Holding Co's Gross Margin % falls into.



Graphic Packaging Holding Co Gross Margin % Calculation

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

Graphic Packaging Holding Co'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 )
=2117 / 9428
=(Revenue - Cost of Goods Sold) / Revenue
=(9428 - 7311) / 9428
=22.45 %

Graphic Packaging Holding Co'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 )
=501 / 2249
=(Revenue - Cost of Goods Sold) / Revenue
=(2249 - 1748) / 2249
=22.28 %

* 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.


Graphic Packaging Holding Co  (NYSE:GPK) 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

Graphic Packaging Holding Co had a gross margin of 22.28% 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.


Graphic Packaging Holding Co Gross Margin % Related Terms

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


Graphic Packaging Holding Co (Graphic Packaging Holding Co) Business Description

Traded in Other Exchanges
Address
1500 Riveredge Parkway, Suite 100, Atlanta, GA, USA, 30328
Graphic Packaging Holding Co is a holding company that manufactures and sells a variety of paper-based consumer packaging products through its subsidiaries. The company's two primary functions include the sale of paperboard packaging and the operation of paperboard mills. The paperboard packaging business includes packaging for beverages, including beer and soft drinks as well as food, including cereal, frozen foods, and pet foods. The firm also sells paperboard packaging for household products, including dishwasher and laundry detergent and personal care products. Graphic Packaging operates papermills that sell laminated and coated packaging products to third parties. The majority of revenue comes from the Americas.
Executives
Stephen R. Scherger officer: SVP, Consumer Packaging Div. 3901 SULGRAVE ROAD, RICHMOND VA 23221
Lynn A Wentworth director CINCINNATI BELL INC, P O BOX 2301, CINCINNATI OH 45201
Michael James Farrell officer: EVP, Mills Division 1500 RIVEREDGE PARKWAY, SUITE 100, ATLANTA GA 30328
Jean Francois Roche officer: SVP and President, EMEA 1500 RIVEREDGE PARKWAY, SUITE 100, AT GA 30328
Elizabeth Spence officer: EVP, Human Resources 1500 RIVEREDGE PARKWAY, N.W., SUITE 100, ATLANTA GA 30328
Aziz Aghili director 5706 KIRKRIDGE TRAIL, ROCHESTER HILLS MI 48306
Margie Kay Bidlingmaier officer: EVP, President, Americas Busi 1500 RIVEREDGE PARKWAY, SUITE 100, ATLANTA GA 30328
Mary K Rhinehart director 821 17TH STREET, DENVER CO 80202
Joseph P Yost officer: SVP, Supply Chain 814 LIVINGSTON COURT, MARIETTA GA 30067
Larry M Venturelli director 2000 M-63N, BENTON HARBOR MI 49022
Charles D Lischer officer: SVP & CAO 2500 WINDY RIDGE PARKWAY, SUITE 700, ATLANTA GA 30339
Stacey J. Panayiotou officer: EVP, Human Resources 9200 W. 108TH CIRCLE, WESTMINSTER CO 80021
Robert Hagemann director 3 GIRALDA FARMS, MADISON NJ 07940
Laurie Brlas director C/O ALBEMARLE CORPORATION, 4250 CONGRESS ST STE 900, CHARLOTTE NC 28209
Dean A Scarborough director 150 N. ORANGE GROVE BLVD, PASADENA CA 91103