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Molson Coors Beverage Co (Molson Coors Beverage Co) Gross Margin %

: 37.01% (As of Dec. 2023)
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Gross Margin % is calculated as gross profit divided by its revenue. Molson Coors Beverage Co's Gross Profit for the three months ended in Dec. 2023 was $1,033 Mil. Molson Coors Beverage Co's Revenue for the three months ended in Dec. 2023 was $2,791 Mil. Therefore, Molson Coors Beverage Co's Gross Margin % for the quarter that ended in Dec. 2023 was 37.01%.

Warning Sign:

Molson Coors Beverage Co gross margin has been in long-term decline. The average rate of decline per year is -1.8%.


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

TAP' s Gross Margin % Range Over the Past 10 Years
Min: 34.16   Med: 39.23   Max: 43.32
Current: 37.33


During the past 13 years, the highest Gross Margin % of Molson Coors Beverage Co was 43.32%. The lowest was 34.16%. And the median was 39.23%.

TAP's Gross Margin % is ranked worse than
55.02% of 209 companies
in the Beverages - Alcoholic industry
Industry Median: 38.87 vs TAP: 37.33

Molson Coors Beverage Co had a gross margin of 37.01% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Molson Coors Beverage Co was -1.80% per year.


Molson Coors Beverage Co Gross Margin % Historical Data

The historical data trend for Molson Coors Beverage 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.

Molson Coors Beverage 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 39.71 39.03 39.43 34.16 37.33

Molson Coors Beverage 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 35.13 32.85 37.31 40.81 37.01

Competitive Comparison

For the Beverages - Brewers subindustry, Molson Coors Beverage 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.


Molson Coors Beverage Co Gross Margin % Distribution

For the Beverages - Alcoholic industry and Consumer Defensive sector, Molson Coors Beverage Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Molson Coors Beverage Co's Gross Margin % falls into.



Molson Coors Beverage Co Gross Margin % Calculation

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

Molson Coors Beverage 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 )
=4368.8 / 11702.1
=(Revenue - Cost of Goods Sold) / Revenue
=(11702.1 - 7333.3) / 11702.1
=37.33 %

Molson Coors Beverage 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 )
=1033 / 2790.8
=(Revenue - Cost of Goods Sold) / Revenue
=(2790.8 - 1757.8) / 2790.8
=37.01 %

* 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.


Molson Coors Beverage Co  (NYSE:TAP) 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

Molson Coors Beverage Co had a gross margin of 37.01% 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.


Molson Coors Beverage Co Gross Margin % Related Terms

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


Molson Coors Beverage Co (Molson Coors Beverage Co) Business Description

Traded in Other Exchanges
Address
NH353, P.O. Box 4030, Golden, CO, USA, 80401
Molson Coors owns well-known beer brands including Miller, Coors, Blue Moon, and Carling, and ranks as the second largest beer maker in both value and volume terms in the U.S., Canada, and the United Kingdom. Through licensing agreements, it also brews and distributes beer and hard seltzer under partner brands from Heineken, Anheuser-Busch InBev, Asahi, and Coca-Cola. The company uses independent distributors in the U.S. given the three-tier distribution requirements, while using a combination of distributors and an in-house sales team in Canada and Europe. North America remains its largest market contributing over 80% of total revenue.
Executives
Winnefeld James A Jr director 870 WINTER STREET, WALTHAM MA 02451
Natalie G. Maciolek officer: Chief Legal & Govt Affairs Off 3939 W HIGHLAND BLVD, MILWAUKEE WI 53208
Geoffrey E. Molson director 1801 CALIFORNIA STREET, SUITE 4600, DENVER CO 80202
Williams Leroy James Jr director 10 LONGS PEAK DRIVE, BROOMFIELD CO 80021-2510
Anne-marie W D'angelo officer: Chief Legal & Govt Affairs Off 801 E. 86TH AVENUE, MERRILLVILLE IN 46410
Louis Vachon director 1155 METCALFE STREET, MONTREAL QUEBEC CANADA E6 0000
Julia M Brown director C/O ABLE BRANDS CO., 30 HUDSON YARDS, NEW YORK NY 10001
Simon Cox officer: Pres&CEO, Molson Coors Europe 1801 CALIFORNIA STREET, SUITE 4600, DENVER CO 80202
Roxanne Stelter officer: VP,Controller & Chf Acct Off 3939 W HIGHLAND BLVD, MILWAUKEE WI 53208
Andrew Thomas Molson director 1801 CALIFORNIA STREET, SUITE 4600, DENVER CO 80202
David S. Coors director P.O. BOX 4030, NH353, GOLDEN CO 80401
Nessa O'sullivan director P.O. BOX 4030, NH353, GOLDEN CO 80401
Peter H Coors director, other: Chairman of the Board 1801 CALIFORNIA STREET, SUITE 4600, DENVER CO 80202
Peter John Marino officer: President of Emerging Growth 250 SOUTH WACKER DRIVE, CHICAGO IL 60606
Jacques Michelle St. officer: Chief Marketing Officer 250 SOUTH WACKER DRIVE, CHICAGO IL 60606