GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Consumer Packaged Goods » Bon Natural Life Ltd (NAS:BON) » Definitions » Gross Margin %

Bon Natural Life (Bon Natural Life) Gross Margin % : 26.82% (As of Sep. 2023)


View and export this data going back to 2021. Start your Free Trial

What is Bon Natural Life Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Bon Natural Life's Gross Profit for the six months ended in Sep. 2023 was $4.12 Mil. Bon Natural Life's Revenue for the six months ended in Sep. 2023 was $15.37 Mil. Therefore, Bon Natural Life's Gross Margin % for the quarter that ended in Sep. 2023 was 26.82%.


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

BON' s Gross Margin % Range Over the Past 10 Years
Min: 22.01   Med: 29.25   Max: 32.22
Current: 29.94


During the past 6 years, the highest Gross Margin % of Bon Natural Life was 32.22%. The lowest was 22.01%. And the median was 29.25%.

BON's Gross Margin % is ranked better than
61.84% of 1808 companies
in the Consumer Packaged Goods industry
Industry Median: 25.085 vs BON: 29.94

Bon Natural Life had a gross margin of 26.82% for the quarter that ended in Sep. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Bon Natural Life was 4.20% per year.


Bon Natural Life Gross Margin % Historical Data

The historical data trend for Bon Natural Life'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.

Bon Natural Life Gross Margin % Chart

Bon Natural Life Annual Data
Trend Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Gross Margin %
Get a 7-Day Free Trial 32.22 28.55 27.90 31.51 29.94

Bon Natural Life Semi-Annual Data
Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 27.09 29.49 33.22 33.34 26.82

Competitive Comparison of Bon Natural Life's Gross Margin %

For the Packaged Foods subindustry, Bon Natural Life'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.


Bon Natural Life's Gross Margin % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Bon Natural Life's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Bon Natural Life's Gross Margin % falls into.



Bon Natural Life Gross Margin % Calculation

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

Bon Natural Life's Gross Margin for the fiscal year that ended in Sep. 2023 is calculated as

Gross Margin % (A: Sep. 2023 )=Gross Profit (A: Sep. 2023 ) / Revenue (A: Sep. 2023 )
=8.8 / 29.522
=(Revenue - Cost of Goods Sold) / Revenue
=(29.522 - 20.682) / 29.522
=29.94 %

Bon Natural Life's Gross Margin for the quarter that ended in Sep. 2023 is calculated as


Gross Margin % (Q: Sep. 2023 )=Gross Profit (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=4.1 / 15.372
=(Revenue - Cost of Goods Sold) / Revenue
=(15.372 - 11.249) / 15.372
=26.82 %

* 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.


Bon Natural Life  (NAS:BON) 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

Bon Natural Life had a gross margin of 26.82% for the quarter that ended in Sep. 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.


Bon Natural Life Gross Margin % Related Terms

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


Bon Natural Life (Bon Natural Life) Business Description

Traded in Other Exchanges
N/A
Address
C601, Gazelle Valley, No.69 Jinye Road, Xi’an Hi-tech Zone, Xi’an, CHN, 710077
Bon Natural Life Ltd is engaged in the manufacturing of personal care ingredients, such as plant extracted fragrance compounds to perfume and fragrance manufacturers, natural health supplements such as powder drinks and bioactive food ingredient products mostly used as food additives and nutritional supplements. The company has its geographic presence in PRC and in Overseas.