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Spire (SPIR) Gross Margin % : 35.31% (As of Sep. 2014)


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What is Spire Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Spire's Gross Profit for the three months ended in Sep. 2014 was $1.32 Mil. Spire's Revenue for the three months ended in Sep. 2014 was $3.74 Mil. Therefore, Spire's Gross Margin % for the quarter that ended in Sep. 2014 was 35.31%.


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


SPIR's Gross Margin % is not ranked *
in the Semiconductors industry.
Industry Median: 28.165
* Ranked among companies with meaningful Gross Margin % only.

Spire had a gross margin of 35.31% for the quarter that ended in Sep. 2014 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Spire was 0.00% per year.


Spire Gross Margin % Historical Data

The historical data trend for Spire'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.

Spire Gross Margin % Chart

Spire Annual Data
Trend Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.25 18.39 23.82 23.84 17.19

Spire Quarterly Data
Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14
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 28.53 16.13 11.97 18.52 35.31

Competitive Comparison of Spire's Gross Margin %

For the Solar subindustry, Spire'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.


Spire's Gross Margin % Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Spire's Gross Margin % distribution charts can be found below:

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



Spire Gross Margin % Calculation

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

Spire's Gross Margin for the fiscal year that ended in Dec. 2013 is calculated as

Gross Margin % (A: Dec. 2013 )=Gross Profit (A: Dec. 2013 ) / Revenue (A: Dec. 2013 )
=2.5 / 14.581
=(Revenue - Cost of Goods Sold) / Revenue
=(14.581 - 12.075) / 14.581
=17.19 %

Spire's Gross Margin for the quarter that ended in Sep. 2014 is calculated as


Gross Margin % (Q: Sep. 2014 )=Gross Profit (Q: Sep. 2014 ) / Revenue (Q: Sep. 2014 )
=1.3 / 3.741
=(Revenue - Cost of Goods Sold) / Revenue
=(3.741 - 2.42) / 3.741
=35.31 %

* 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.


Spire  (OTCPK:SPIR) 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

Spire had a gross margin of 35.31% for the quarter that ended in Sep. 2014 => 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.


Spire Gross Margin % Related Terms

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


Spire (SPIR) Business Description

Traded in Other Exchanges
N/A
Address
One Patriots Park, Bedford, MA, USA, 01730-2396
Spire Corp and its subsidiaries develop, manufacture and market engineered products and services. The company operates in two business areas namely capital equipment for the photovoltaic solar industry and biomedical. Its photovoltaic solar area produces, assembles and sells specialized equipment for the production of terrestrial photovoltaic modules from solar cells. The biomedical area provides surface treatments to the manufacturers of orthopedic and other medical devices. Additionally, the company provides training and assistance with module certification and solar factory management services. Further, it offers its products geographically across countries like the United States, Asia, Europe and Africa, and internationally.
Executives
David Gelbaum 10 percent owner, other: Co-Trustee 2309 SANTIAGO DRIVE, NEWPORT BEACH CA 92660
Monica Chavez Gelbaum 10 percent owner, other: Co-Trustee 2309 SANTIAGO DRIVE, NEWPORT BEACH CA 92660
Quercus Trust 10 percent owner 2309 SANTIAGO DRIVE, NEWPORT BEACH CA 92660
Richard Thomley officer: CAO and Corporate Controller C/O PRESSURE BIOSCIENCES, INC., 14 NORFOLK AVE., SOUTH EASTON MA 02375
James F Parslow officer: Chief Financial Officer C/O XENETIC BIOSCIENCES, INC., 99 HAYDEN AVENUE, SUITE 230, LEXINGTON MA 02421