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Omega Healthcare Investors (Omega Healthcare Investors) Gross Margin % : 98.66% (As of Dec. 2023)


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What is Omega Healthcare Investors Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Omega Healthcare Investors's Gross Profit for the three months ended in Dec. 2023 was $236.1 Mil. Omega Healthcare Investors's Revenue for the three months ended in Dec. 2023 was $239.3 Mil. Therefore, Omega Healthcare Investors's Gross Margin % for the quarter that ended in Dec. 2023 was 98.66%.


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

OHI' s Gross Margin % Range Over the Past 10 Years
Min: 98.24   Med: 98.42   Max: 98.85
Current: 98.42


During the past 13 years, the highest Gross Margin % of Omega Healthcare Investors was 98.85%. The lowest was 98.24%. And the median was 98.42%.

OHI's Gross Margin % is ranked better than
97% of 634 companies
in the REITs industry
Industry Median: 68.745 vs OHI: 98.42

Omega Healthcare Investors had a gross margin of 98.66% for the quarter that ended in Dec. 2023 => Durable competitive advantage

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


Omega Healthcare Investors Gross Margin % Historical Data

The historical data trend for Omega Healthcare Investors'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.

Omega Healthcare Investors Gross Margin % Chart

Omega Healthcare Investors Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 98.39 98.62 98.85 98.24 98.42

Omega Healthcare Investors Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 97.24 98.17 98.43 98.39 98.66

Competitive Comparison of Omega Healthcare Investors's Gross Margin %

For the REIT - Healthcare Facilities subindustry, Omega Healthcare Investors'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.


Omega Healthcare Investors's Gross Margin % Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Omega Healthcare Investors's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Omega Healthcare Investors's Gross Margin % falls into.



Omega Healthcare Investors Gross Margin % Calculation

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

Omega Healthcare Investors'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 )
=934.7 / 949.74
=(Revenue - Cost of Goods Sold) / Revenue
=(949.74 - 15.025) / 949.74
=98.42 %

Omega Healthcare Investors'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 )
=236.1 / 239.319
=(Revenue - Cost of Goods Sold) / Revenue
=(239.319 - 3.211) / 239.319
=98.66 %

* 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.


Omega Healthcare Investors  (NYSE:OHI) 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

Omega Healthcare Investors had a gross margin of 98.66% for the quarter that ended in Dec. 2023 => Durable 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.


Omega Healthcare Investors Gross Margin % Related Terms

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


Omega Healthcare Investors (Omega Healthcare Investors) Business Description

Traded in Other Exchanges
Address
303 International Circle, Suite 200, Hunt Valley, MD, USA, 21030
Omega Healthcare Investors Inc is a healthcare facility real estate investment trust that invests in the United States real estate markets. Omega's portfolio focuses on long-term healthcare facilities. The company maintains dual goals of increasing its returns to investors while also maintaining a high level of care for residents. Omega works to obtain contractual rent escalations under long-term leases, along with fixed-rate mortgage loans. The company considers merger and acquisition investment as a component of its operational growth strategy.
Executives
Gail D Makode officer: Chief Legal Officer ONE SOUND SHORE DR, SUITE 304, GREENWICH CT 06830
Kapila K Anand director C/O EXTENDED STAY AMERICA, INC., 11525 N. COMMUNITY HOUSE ROAD, SUITE 100, CHARLOTTE NC 28277
Neal Ballew officer: Chief Accounting Officer 303 INTERNATIONAL CIRCLE, SUITE 200, HUNT VALLEY MD 21030
Burke W Whitman director 13455 NOEL ROAD # 2000, DALLAS TX 75240
Lisa Egbuonu-davis director C/O OMEGA HEALTHCARE INVESTORS, INC., 303 INTERNATIONAL CIRCLE, SUITE 200, HUNT VALLEY MD 21030
Steven J Insoft officer: Chief Corp Development Officer
Daniel J Booth officer: Chief Operating Officer 9690 DEERECO ROAD, SUITE 100, TIMONIUM MD 21093
Robert O Stephenson officer: Chief Financial Officer C/O OMEGA HEALTHCARE INVESTORS, 9690 DEERECO ROAD, SUITE 100, TIMONIUM MD 21093
C Taylor Pickett director, officer: Chief Executive Officer C/O CORPORATE OFFICE PROPERTIES TRUST, 6711 COLUMBIA GATEWAY DRIVE, #300, COLUMBIA MD 21046
Kevin J Jacobs director 7930 JONES BRANCH DRIVE, MCLEAN VA 22102
Michael Ritz officer: Chief Accounting Officer 9690 DEERECO ROAD, SUITE 100, TIMONIUM MD 21131
Craig R Callen director 7902 WESTPARK DR, C/O SUNRISE ASSISTED LIVING, MCLEAN VA 22102
Ben W Perks director
Bernard J Korman director OMEGA HEALTHCARE INVESTORS INC, ANN ARBOR MI 48108
Craig M Bernfield director 303 WEST MADISON STREET, SUITE 2400, CHICAGO IL 60606