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4Cs HD Co (TSE:3726) Gross Margin % : 65.88% (As of Mar. 2024)


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What is 4Cs HD Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. 4Cs HD Co's Gross Profit for the three months ended in Mar. 2024 was 円356 Mil. 4Cs HD Co's Revenue for the three months ended in Mar. 2024 was 円540 Mil. Therefore, 4Cs HD Co's Gross Margin % for the quarter that ended in Mar. 2024 was 65.88%.

Warning Sign:

4Cs HD Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -2.7%.


The historical rank and industry rank for 4Cs HD Co's Gross Margin % or its related term are showing as below:

TSE:3726' s Gross Margin % Range Over the Past 10 Years
Min: 48   Med: 69.56   Max: 79.34
Current: 65.98


During the past 13 years, the highest Gross Margin % of 4Cs HD Co was 79.34%. The lowest was 48.00%. And the median was 69.56%.

TSE:3726's Gross Margin % is ranked better than
91.87% of 1095 companies
in the Retail - Cyclical industry
Industry Median: 36.61 vs TSE:3726: 65.98

4Cs HD Co had a gross margin of 65.88% for the quarter that ended in Mar. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for 4Cs HD Co was -2.70% per year.


4Cs HD Co Gross Margin % Historical Data

The historical data trend for 4Cs HD 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.

4Cs HD Co Gross Margin % Chart

4Cs HD Co Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 76.10 71.18 71.94 67.93 66.99

4Cs HD Co Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 67.61 67.03 64.85 64.51 65.88

Competitive Comparison of 4Cs HD Co's Gross Margin %

For the Internet Retail subindustry, 4Cs HD 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.


4Cs HD Co's Gross Margin % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, 4Cs HD Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where 4Cs HD Co's Gross Margin % falls into.



4Cs HD Co Gross Margin % Calculation

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

4Cs HD Co'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 )
=1431.5 / 2136.884
=(Revenue - Cost of Goods Sold) / Revenue
=(2136.884 - 705.388) / 2136.884
=66.99 %

4Cs HD Co's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=355.5 / 539.696
=(Revenue - Cost of Goods Sold) / Revenue
=(539.696 - 184.166) / 539.696
=65.88 %

* 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.


4Cs HD Co  (TSE:3726) 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

4Cs HD Co had a gross margin of 65.88% for the quarter that ended in Mar. 2024 => 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.


4Cs HD Co Gross Margin % Related Terms

Thank you for viewing the detailed overview of 4Cs HD Co's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


4Cs HD Co (TSE:3726) Business Description

Traded in Other Exchanges
N/A
Address
1-1-1 Yakuin, Chuo-ku, Yakuin Business Garden 8th floor, Fukuoka, JPN, 810-0002
4Cs HD Co Ltd is a Japan-based company mainly engaged in the online sale of basic cosmetic products, base and makeup products and healthy food products. Products offered by the company include water cleasing gel. foaming net, natural soap, Hadarifuto essence oil, beauty lotion, aging care cream, whitening cream, face mask, foundation, face powder, mascara, body cream, lip cream, hand cream, and supplements. It sells skin care products under the name NANO ACQUA & base makeup products under the name ACQUA FAIRY, and health food products under brand BE ACQUA.

4Cs HD Co (TSE:3726) Headlines

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