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Universal Security Instruments (Universal Security Instruments) Gross Margin % : 32.27% (As of Dec. 2023)


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What is Universal Security Instruments Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Universal Security Instruments's Gross Profit for the three months ended in Dec. 2023 was $1.50 Mil. Universal Security Instruments's Revenue for the three months ended in Dec. 2023 was $4.66 Mil. Therefore, Universal Security Instruments's Gross Margin % for the quarter that ended in Dec. 2023 was 32.27%.


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

UUU' s Gross Margin % Range Over the Past 10 Years
Min: 22.59   Med: 29.05   Max: 32.19
Current: 29.46


During the past 13 years, the highest Gross Margin % of Universal Security Instruments was 32.19%. The lowest was 22.59%. And the median was 29.05%.

UUU's Gross Margin % is ranked worse than
56.48% of 988 companies
in the Business Services industry
Industry Median: 34.37 vs UUU: 29.46

Universal Security Instruments had a gross margin of 32.27% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Universal Security Instruments was -0.50% per year.


Universal Security Instruments Gross Margin % Historical Data

The historical data trend for Universal Security Instruments'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.

Universal Security Instruments Gross Margin % Chart

Universal Security Instruments Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 31.58 25.39 32.19 30.85 28.63

Universal Security Instruments 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 29.48 28.15 25.50 35.19 32.27

Competitive Comparison of Universal Security Instruments's Gross Margin %

For the Security & Protection Services subindustry, Universal Security Instruments'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.


Universal Security Instruments's Gross Margin % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Universal Security Instruments's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Universal Security Instruments's Gross Margin % falls into.



Universal Security Instruments Gross Margin % Calculation

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

Universal Security Instruments's Gross Margin for the fiscal year that ended in Mar. 2023 is calculated as

Gross Margin % (A: Mar. 2023 )=Gross Profit (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=6.4 / 22.179
=(Revenue - Cost of Goods Sold) / Revenue
=(22.179 - 15.829) / 22.179
=28.63 %

Universal Security Instruments'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 )
=1.5 / 4.655
=(Revenue - Cost of Goods Sold) / Revenue
=(4.655 - 3.153) / 4.655
=32.27 %

* 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.


Universal Security Instruments  (AMEX:UUU) 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

Universal Security Instruments had a gross margin of 32.27% 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.


Universal Security Instruments Gross Margin % Related Terms

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


Universal Security Instruments (Universal Security Instruments) Business Description

Traded in Other Exchanges
N/A
Address
11407 Cronhill Drive, Suite A, Owings Mills, MD, USA, 21117
Universal Security Instruments Inc is a U.S based manufacturer and distributor of safety and security devices in the Peoples Republic of China . The company markets a line of residential smoke and carbon monoxide alarms under the trade names UNIVERSAL and USI Electric. It also markets products to the electrical distribution trade such as electrical and lighting distributors as well as manufactured housing companies. Its product portfolio consists of smoke and fire alarms, carbon monoxide alarms, multi-gas alarms, universal smoke sensing technology, and plug-in alarms.
Executives
Bitnile Holdings, Inc. 10 percent owner 11411 SOUTHERN HIGHLANDS PARKWAY, SUITE 240, LAS VEGAS NV 89141
North Star Investment Management Corp. other: SEE NOTE 2 BELOW 20 N. WACKER DRIVE, SUITE # 1416, CHICAGO IL 60606
North Star Micro Cap Fund 10 percent owner 80 ARKAY DRIVE, SUITE 110, HAUPPAUGE NY 11788
Ira Bormel director 11407 CRONHILL DRIVE, SUITE A, OWINGS MILLS MD 21117
Harvey B Grossblatt director, officer: President, CEO 7-A GWYNNS MILL COURT, OWINGS MILLS MD 21117
Ronald A Seff director 7-A GWYNNS MILL COURT, OWINGS MILLS MD 21117
Howard B Silverman director 7-A GWYNNS MILL COURT, OWINGS MILLS MD 21117
Cary Luskin director 7-A GWYNNS MILL COURT, OWINGS MILLS MD 21117
Michael L Kovens 10 percent owner 6 REGENCY CT, BALTIMORE MD 21208
James Ballard Huff officer: Chief Financial Officer 7-A GWYNNS MILL COURT, OWINGS MILLS MD 21117
Ronald S Lazarus 10 percent owner 7-A GWYNNS MILL COURT, OWINGS MILLS MD 21117
Stephen C Knepper director, 10 percent owner, officer: Chairman, CEO 7-A GWYNNS MILL COURT, OWINGS MILLS MD 21117

Universal Security Instruments (Universal Security Instruments) Headlines

From GuruFocus

Universal Security Instruments Reports First-Quarter Results

By PRNewswire PRNewswire 08-17-2022