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Windstream Holdings (Windstream Holdings) Gross Margin % : 34.74% (As of Jun. 2020)


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What is Windstream Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Windstream Holdings's Gross Profit for the three months ended in Jun. 2020 was $412 Mil. Windstream Holdings's Revenue for the three months ended in Jun. 2020 was $1,185 Mil. Therefore, Windstream Holdings's Gross Margin % for the quarter that ended in Jun. 2020 was 34.74%.


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


WINMQ's Gross Margin % is not ranked *
in the Telecommunication Services industry.
Industry Median: 49.105
* Ranked among companies with meaningful Gross Margin % only.

Windstream Holdings had a gross margin of 34.74% for the quarter that ended in Jun. 2020 => Competition eroding margins

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


Windstream Holdings Gross Margin % Historical Data

The historical data trend for Windstream Holdings'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.

Windstream Holdings Gross Margin % Chart

Windstream Holdings Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 49.57 49.03 47.78 48.82 33.16

Windstream Holdings Quarterly Data
Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20
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 32.58 33.08 33.48 35.77 34.74

Competitive Comparison of Windstream Holdings's Gross Margin %

For the Telecom Services subindustry, Windstream Holdings'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.


Windstream Holdings's Gross Margin % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Windstream Holdings's Gross Margin % distribution charts can be found below:

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



Windstream Holdings Gross Margin % Calculation

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

Windstream Holdings's Gross Margin for the fiscal year that ended in Dec. 2019 is calculated as

Gross Margin % (A: Dec. 2019 )=Gross Profit (A: Dec. 2019 ) / Revenue (A: Dec. 2019 )
=1696.5 / 5115.4
=(Revenue - Cost of Goods Sold) / Revenue
=(5115.4 - 3418.9) / 5115.4
=33.16 %

Windstream Holdings's Gross Margin for the quarter that ended in Jun. 2020 is calculated as


Gross Margin % (Q: Jun. 2020 )=Gross Profit (Q: Jun. 2020 ) / Revenue (Q: Jun. 2020 )
=411.8 / 1185.3
=(Revenue - Cost of Goods Sold) / Revenue
=(1185.3 - 773.5) / 1185.3
=34.74 %

* 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.


Windstream Holdings  (OTCPK:WINMQ) 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

Windstream Holdings had a gross margin of 34.74% for the quarter that ended in Jun. 2020 => 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.


Windstream Holdings Gross Margin % Related Terms

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


Windstream Holdings (Windstream Holdings) Business Description

Traded in Other Exchanges
N/A
Address
4001 Rodney Parham Road, Little Rock, AR, USA, 72212
Windstream is a telecom provider that offers phone and broadband services to consumers in 18 U.S. states, primarily in rural areas, and other communications services to enterprises throughout the United States. In 2015, the firm spun most of its fiber and copper assets into a newly created entity, Uniti. Windstream concurrently executed a 15-year lease for exclusive use of those assets, and it holds up to four five-year renewal options. Windstream's network is concentrated in the eastern half of the U.S., but it has long-haul routes that reach the West Coast. Windstream no longer has any ownership interest in Uniti.
Executives
Michael G. Stoltz director POST OFFICE BOX 775932 STEAMBOAT SPRINGS CO 80477
Walter Turek director 911 PANORAMA TRAIL S, ROCHESTER NY 14625
Julie Ann Shimer director 18453 LAS CUMBRES ROAD, LOS GATOS CA 95033
Beall Samuel E Iii director RUBY TUESDAY INC 150 WEST CHURCH AVE MARYVILLE TN 37801
Carol B Armitage director C/O WINDSTREAM CORPORATION 4001 RODNEY PARHAM RD; B1F3 LITTLE ROCK AR 72212
Alan L Wells director, other: Chairman IOWA TELECOMMUNICATIONS INC. 115 S. SECOND AVE. WEST NEWTON IA 50208
Jeannie Diefenderfer director C/O MRV COMMUNICATIONS, INC., 20415 NORDHOFF STREET, CHATSWORTH CA 91311
Larry Laque director 4001 RODNEY PARHAM ROAD BUILDING 1 LITTLE ROCK AR 72212
Jeffrey T. Hinson director 3721 POTOMAC AVE., DALLAS TX 75205
William G Laperch director 360 HAMILTON AVE, C/O ABOVENET INC, WHITE PLAINS NY 10601
Marc F Stoll director C/O ARISTA NETWORKS, INC., 5453 GREAT AMERICA PARKWAY, SANTA CLARA CA 95054
Anthony W Thomas director, officer: Director, President & CEO 4001 RODNEY PARHAM ROAD LITTLE ROCK AR 72212
John C Eichler officer: SVP-Controller 4001 RODNEY PARHAM ROAD LITTLE ROCK AR 72212
Robert E. Gunderman officer: CFO & Treasurer 4001 RODNEY PARHAM ROAD BUILDING 1 LITTLE ROCK AR 72212
Layne Levine officer: President-Enterprise & Wholesa 4001 RODNEY PARHAM ROAD BUILDING 1 LITTLE ROCK AR 72212