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Village Farms International (Village Farms International) Gross Margin %

: 14.83% (As of Dec. 2023)
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Gross Margin % is calculated as gross profit divided by its revenue. Village Farms International's Gross Profit for the three months ended in Dec. 2023 was $11.0 Mil. Village Farms International's Revenue for the three months ended in Dec. 2023 was $74.2 Mil. Therefore, Village Farms International's Gross Margin % for the quarter that ended in Dec. 2023 was 14.83%.


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

VFF' s Gross Margin % Range Over the Past 10 Years
Min: -5.08   Med: 9.1   Max: 17.31
Current: 17.31


During the past 13 years, the highest Gross Margin % of Village Farms International was 17.31%. The lowest was -5.08%. And the median was 9.10%.

VFF's Gross Margin % is ranked worse than
66.81% of 1808 companies
in the Consumer Packaged Goods industry
Industry Median: 24.995 vs VFF: 17.31

Village Farms International had a gross margin of 14.83% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

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


Village Farms International Gross Margin % Historical Data

The historical data trend for Village Farms International'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.

Village Farms International 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 -5.08 6.44 16.86 9.37 17.31

Village Farms International 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 4.17 19.02 14.89 21.03 14.83

Competitive Comparison

For the Farm Products subindustry, Village Farms International'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.


Village Farms International Gross Margin % Distribution

For the Consumer Packaged Goods industry and Consumer Defensive sector, Village Farms International's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Village Farms International's Gross Margin % falls into.



Village Farms International Gross Margin % Calculation

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

Village Farms International'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 )
=49.4 / 285.603
=(Revenue - Cost of Goods Sold) / Revenue
=(285.603 - 236.177) / 285.603
=17.31 %

Village Farms International'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 )
=11 / 74.225
=(Revenue - Cost of Goods Sold) / Revenue
=(74.225 - 63.219) / 74.225
=14.83 %

* 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.


Village Farms International  (NAS:VFF) 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

Village Farms International had a gross margin of 14.83% for the quarter that ended in Dec. 2023 => No sustainable 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.


Village Farms International Gross Margin % Related Terms

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


Village Farms International (Village Farms International) Business Description

Traded in Other Exchanges
Address
4700 - 80th Street, Delta, BC, CAN, V4K 3N3
Village Farms International Inc owns and operates intensive agricultural greenhouse facilities in British Columbia and Texas, where it produces, markets and sells tomatoes, bell peppers and cucumbers. Its wholly owned subsidiary, Pure Sunfarms, is a vertically integrated licensed producer and supplier of cannabis products sold to other licensed providers and provincial governments across Canada and internationally. The Company's wholly owned subsidiary, Balanced Health, develops and sells, cannabidiol (CBD) based products including ingestible, edible and topical applications. Through its 70% ownership of Rose, the Company has a presence in the Province of Quebec as a cannabis supplier, producer and commercialization.
Executives
Kathleen M Mahoney director C/O SPARTANNASH, 850 76TH SW, GRAND RAPIDS MI 49518
Michael A Degiglio director, 10 percent owner, officer: Chief Executive Officer 10 ALVIN CT, EAST BRUNSWICK NJ 08816
John Patrick Henry director C/O VILLAGE FARMS INTERNATIONAL, INC., 195 INTERNATIONAL PARKWAY, SUITE 100, HEATHROW FL 32746
Stephen C Ruffini director, officer: Chief Financial Officer C/O VILLAGE FARMS INTERNATIONAL, INC., 195 INTERNATIONAL PARKWAY, SUITE 100, HEATHROW FL 32746
Ann Lefever Gillin officer: Executive Vice President C/O VILLAGE FARMS INTERNATIONAL, INC., 4700 80TH STREET, DELTA A1 V4K 3N3
John R. Mclernon director 200 GRANVILLE STREET, 19TH FLOOR, VANCOUVER A1 V6C 2R6
Christopher C. Woodward director C/O VILLAGE FARMS INTERNATIONAL, INC., 195 INTERNATIONAL PARKWAY, SUITE 100, HEATHROW FL 32746
David Holewinski director C/O VILLAGE FARMS INTERNATIONAL, INC., 195 INTERNATIONAL PARKWAY, SUITE 100, HEATHROW FL 32746
Roberta Cook director C/O VILLAGE FARMS INTERNATIONAL, 195 INTERNATIONAL PARKWAY, SUITE 100, HEATHROW FL 32746

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