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WeBuild SpA (MIL:WBD) Gross Margin % : 24.78% (As of Dec. 2023)


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What is WeBuild SpA Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. WeBuild SpA's Gross Profit for the six months ended in Dec. 2023 was €1,234 Mil. WeBuild SpA's Revenue for the six months ended in Dec. 2023 was €4,981 Mil. Therefore, WeBuild SpA's Gross Margin % for the quarter that ended in Dec. 2023 was 24.78%.


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

MIL:WBD' s Gross Margin % Range Over the Past 10 Years
Min: 20.51   Med: 23.93   Max: 26.7
Current: 25.03


During the past 13 years, the highest Gross Margin % of WeBuild SpA was 26.70%. The lowest was 20.51%. And the median was 23.93%.

MIL:WBD's Gross Margin % is ranked better than
60.22% of 1609 companies
in the Construction industry
Industry Median: 19.2 vs MIL:WBD: 25.03

WeBuild SpA had a gross margin of 24.78% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for WeBuild SpA was 3.10% per year.


WeBuild SpA Gross Margin % Historical Data

The historical data trend for WeBuild SpA'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.

WeBuild SpA Gross Margin % Chart

WeBuild SpA Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 23.97 23.35 22.10 25.05 25.03

WeBuild SpA Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 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 21.19 24.55 25.51 25.32 24.78

Competitive Comparison of WeBuild SpA's Gross Margin %

For the Engineering & Construction subindustry, WeBuild SpA'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.


WeBuild SpA's Gross Margin % Distribution in the Construction Industry

For the Construction industry and Industrials sector, WeBuild SpA's Gross Margin % distribution charts can be found below:

* The bar in red indicates where WeBuild SpA's Gross Margin % falls into.



WeBuild SpA Gross Margin % Calculation

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

WeBuild SpA'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 )
=2325.4 / 9290.118
=(Revenue - Cost of Goods Sold) / Revenue
=(9290.118 - 6964.737) / 9290.118
=25.03 %

WeBuild SpA'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 )
=1234.3 / 4981.22
=(Revenue - Cost of Goods Sold) / Revenue
=(4981.22 - 3746.888) / 4981.22
=24.78 %

* 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.


WeBuild SpA  (MIL:WBD) 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

WeBuild SpA had a gross margin of 24.78% 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.


WeBuild SpA Gross Margin % Related Terms

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WeBuild SpA (MIL:WBD) Business Description

Traded in Other Exchanges
Address
Milanofiori Strada 6 – Palazzo L, Milan, ITA, 20089
WeBuild SpA is a global construction company specialized in building large works and complex infrastructure for the sustainable mobility, hydroelectric energy, water, green buildings and the tunnelling sectors. It works in partnerships with other architects and designers to provide innovative solutions. Operating segments are reported by geographical regions: Italy and abroad.