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California Style Palms (California Style Palms) Gross Margin % : 48.05% (As of Sep. 2006)


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What is California Style Palms Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. California Style Palms's Gross Profit for the three months ended in Sep. 2006 was $1.72 Mil. California Style Palms's Revenue for the three months ended in Sep. 2006 was $3.57 Mil. Therefore, California Style Palms's Gross Margin % for the quarter that ended in Sep. 2006 was 48.05%.


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


CFPI's Gross Margin % is not ranked *
in the Consumer Packaged Goods industry.
Industry Median: 25.32
* Ranked among companies with meaningful Gross Margin % only.

California Style Palms had a gross margin of 48.05% for the quarter that ended in Sep. 2006 => Durable competitive advantage

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


California Style Palms Gross Margin % Historical Data

The historical data trend for California Style Palms'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.

California Style Palms Gross Margin % Chart

California Style Palms Annual Data
Trend Jan97 Jan98 Jan99 Jan00 Jan01 Jan02 Jan03 Mar05
Gross Margin %
Get a 7-Day Free Trial 70.33 69.84 70.42 68.12 36.27

California Style Palms Quarterly Data
Jul00 Oct00 Jan01 Apr01 Jul01 Oct01 Jan02 Apr02 Jul02 Oct02 Jan03 Apr03 Dec04 Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06
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 35.37 30.07 11.47 43.98 48.05

Competitive Comparison of California Style Palms's Gross Margin %

For the Farm Products subindustry, California Style Palms'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.


California Style Palms's Gross Margin % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, California Style Palms's Gross Margin % distribution charts can be found below:

* The bar in red indicates where California Style Palms's Gross Margin % falls into.



California Style Palms Gross Margin % Calculation

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

California Style Palms's Gross Margin for the fiscal year that ended in Mar. 2005 is calculated as

Gross Margin % (A: Mar. 2005 )=Gross Profit (A: Mar. 2005 ) / Revenue (A: Mar. 2005 )
=4.8 / 13.12
=(Revenue - Cost of Goods Sold) / Revenue
=(13.12 - 8.362) / 13.12
=36.27 %

California Style Palms's Gross Margin for the quarter that ended in Sep. 2006 is calculated as


Gross Margin % (Q: Sep. 2006 )=Gross Profit (Q: Sep. 2006 ) / Revenue (Q: Sep. 2006 )
=1.7 / 3.573
=(Revenue - Cost of Goods Sold) / Revenue
=(3.573 - 1.856) / 3.573
=48.05 %

* 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.


California Style Palms  (OTCPK:CFPI) 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

California Style Palms had a gross margin of 48.05% for the quarter that ended in Sep. 2006 => 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.


California Style Palms Gross Margin % Related Terms

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California Style Palms (California Style Palms) Business Description

Traded in Other Exchanges
N/A
Address
349 North Renee Street, Orange, CA, USA, 92869-3122
California Style Palms Inc is engaged in selling and installation of decorative palm trees. It owns and operates the assets, with the exception of the real estate, of Gregory Palm Farms, LLC, a fourth-generation farmers company who live to grow its own products. The company owns and operates two farms in California, and have set up central location in Orange, Orange County. It derives revenues primarily from the sale and installation of decorative palm trees.
Executives
Andrew C Schmidt director 1700 CARNEGIE AVE, SUITE 100, SANTA ANA CA 92705

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