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Adastria Co (TSE:2685) Gross Margin % : 57.51% (As of Nov. 2023)


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What is Adastria Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Adastria Co's Gross Profit for the three months ended in Nov. 2023 was 円40,463 Mil. Adastria Co's Revenue for the three months ended in Nov. 2023 was 円70,356 Mil. Therefore, Adastria Co's Gross Margin % for the quarter that ended in Nov. 2023 was 57.51%.


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

TSE:2685' s Gross Margin % Range Over the Past 10 Years
Min: 53.9   Med: 55.18   Max: 56.62
Current: 55.28


During the past 13 years, the highest Gross Margin % of Adastria Co was 56.62%. The lowest was 53.90%. And the median was 55.18%.

TSE:2685's Gross Margin % is ranked better than
85.91% of 1029 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 25.71 vs TSE:2685: 55.28

Adastria Co had a gross margin of 57.51% for the quarter that ended in Nov. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Adastria Co was 0.30% per year.


Adastria Co Gross Margin % Historical Data

The historical data trend for Adastria Co'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.

Adastria Co Gross Margin % Chart

Adastria Co Annual Data
Trend Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 55.48 54.45 55.07 54.70 55.28

Adastria Co Quarterly Data
May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
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 50.17 57.09 55.52 57.51 51.19

Competitive Comparison of Adastria Co's Gross Margin %

For the Apparel Manufacturing subindustry, Adastria Co'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.


Adastria Co's Gross Margin % Distribution in the Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Adastria Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Adastria Co's Gross Margin % falls into.



Adastria Co Gross Margin % Calculation

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

Adastria Co's Gross Margin for the fiscal year that ended in Feb. 2024 is calculated as

Gross Margin % (A: Feb. 2024 )=Gross Profit (A: Feb. 2024 ) / Revenue (A: Feb. 2024 )
=152354 / 275596
=(Revenue - Cost of Goods Sold) / Revenue
=(275596 - 123242) / 275596
=55.28 %

Adastria Co's Gross Margin for the quarter that ended in Nov. 2023 is calculated as


Gross Margin % (Q: Nov. 2023 )=Gross Profit (Q: Nov. 2023 ) / Revenue (Q: Nov. 2023 )
=40463 / 70356
=(Revenue - Cost of Goods Sold) / Revenue
=(70356 - 29893) / 70356
=57.51 %

* 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.


Adastria Co  (TSE:2685) 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

Adastria Co had a gross margin of 57.51% for the quarter that ended in Nov. 2023 => 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.


Adastria Co Gross Margin % Related Terms

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Adastria Co (TSE:2685) Business Description

Traded in Other Exchanges
N/A
Address
10th Floor, Gran Tokyo South Tower, 1-9-2, Marunouchi, Chiyoda-ku, Tokyo, JPN, 100-6610
Adastria Co Ltd is a manufacturer and retailer of clothing, bags, shoes, kitchen goods, furniture, and accessories with over a thousand stores in Asia. Its many retail brands span from targeting teenagers to middle-aged adults and from high-priced to mass-market goods. Its biggest brands include Lepsim, studio CLIP, niko and, Global Work, Heather, Jeanasis, Rageblue, and Lowrys Farm. The vast majority of Adastria's revenue and store locations are in Japan. Other Asian markets include Hong Kong, China, Taiwan, South Korea, and Singapore.

Adastria Co (TSE:2685) Headlines

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