Gross Margin % is calculated as gross profit divided by its revenue. Steelcase's Gross Profit for the
three
months ended in May. 2022 was $192 Mil. Steelcase's Revenue for the
three
months ended in May. 2022 was $741 Mil. Therefore, Steelcase's Gross Margin % for the quarter that ended in May. 2022 was 25.87%.
Warning Sign:
Steelcase Inc gross margin has been in long-term decline. The average rate of decline per year is -3.5%.
The historical rank and industry rank for Steelcase's Gross Margin % or its related term are showing as below:
SCS'
s Gross Margin % Range Over the Past 10 Years
Min: 27 Med: 31.61 Max: 33.23
Current: 27
During the past 13 years, the highestGross Margin % of Steelcase was 33.23%. The lowest was 27.00%. And the median was 31.61%.
SCS's Gross Margin % is ranked better than 52% of 2694
companies
in the Industrial Products industry
Industry Median: 26.31
vs SCS: 27.00
Steelcase had a gross margin of 25.87% for the quarter that ended in May. 2022 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Steelcase was -3.50% per year.
Steelcase Gross Margin % Historical Data
The historical data trend for Steelcase'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.
Steelcase Annual Data
Trend
Feb13
Feb14
Feb15
Feb16
Feb17
Feb18
Feb19
Feb20
Feb21
Feb22
Gross Margin %
32.90
31.60
32.63
29.38
27.46
Steelcase Quarterly Data
Aug17
Nov17
Feb18
May18
Aug18
Nov18
Feb19
May19
Aug19
Nov19
Feb20
May20
Aug20
Nov20
Feb21
May21
Aug21
Nov21
Feb22
May22
Gross Margin %
27.79
28.53
27.58
26.08
25.87
Competitive Comparison
For the Business Equipment & Supplies subindustry, Steelcase'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.
Steelcase Gross Margin % Distribution
For the Industrial Products industry and Industrials sector, Steelcase's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Steelcase'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.
Steelcase (NYSE:SCS) 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
Steelcase had a gross margin of 25.87% for the quarter that ended in May. 2022 => 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.
Steelcase Gross Margin % Related Terms
Thank you for viewing the detailed overview of Steelcase's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.
Steelcase Inc is a furniture company primarily based in the United States and has operations in Europe, the Middle East, and Africa. Steelcase markets its products primarily through a network of independent and company-owned dealers. The company operates through the Americas segment, the EMEA segment and the Other category. The Americas segment offers architecture, furniture and technology products is marketed to corporate, government, healthcare, education and retail customers, EMEA segment provides furniture systems, storage and seating solutions.
My Portfolios
Create New Portfolio
Portfolio Contest
My Gurus
Personalize
Premium Gurus 
0.02(0.18%) Volume: 1,104,561 4:00PM EDT
Email Alerts
Stock PDF
RSS
Website
Filings
Download
Manual of Stocks™ Web APP
NYSE:SCS has been successfully added to your 
