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Estelle Holdings Co (TSE:7872) Gross Margin % : 56.57% (As of Dec. 2023)


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What is Estelle Holdings Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Estelle Holdings Co's Gross Profit for the three months ended in Dec. 2023 was 円4,607 Mil. Estelle Holdings Co's Revenue for the three months ended in Dec. 2023 was 円8,144 Mil. Therefore, Estelle Holdings Co's Gross Margin % for the quarter that ended in Dec. 2023 was 56.57%.

Warning Sign:

Estelle Holdings Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -1.7%.


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

TSE:7872' s Gross Margin % Range Over the Past 10 Years
Min: 56.25   Med: 61.5   Max: 62.62
Current: 56.25


During the past 13 years, the highest Gross Margin % of Estelle Holdings Co was 62.62%. The lowest was 56.25%. And the median was 61.50%.

TSE:7872's Gross Margin % is ranked better than
80.64% of 1095 companies
in the Retail - Cyclical industry
Industry Median: 36.51 vs TSE:7872: 56.25

Estelle Holdings Co had a gross margin of 56.57% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Estelle Holdings Co was -1.70% per year.


Estelle Holdings Co Gross Margin % Historical Data

The historical data trend for Estelle Holdings 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.

Estelle Holdings Co Gross Margin % Chart

Estelle Holdings Co 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 61.60 60.86 59.82 58.06 57.80

Estelle Holdings Co 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 57.06 57.50 55.57 55.29 56.57

Competitive Comparison of Estelle Holdings Co's Gross Margin %

For the Luxury Goods subindustry, Estelle Holdings 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.


Estelle Holdings Co's Gross Margin % Distribution in the Retail - Cyclical Industry

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

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



Estelle Holdings Co Gross Margin % Calculation

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

Estelle Holdings Co'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 )
=17125 / 29627
=(Revenue - Cost of Goods Sold) / Revenue
=(29627 - 12502) / 29627
=57.80 %

Estelle Holdings Co'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 )
=4607 / 8144
=(Revenue - Cost of Goods Sold) / Revenue
=(8144 - 3537) / 8144
=56.57 %

* 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.


Estelle Holdings Co  (TSE:7872) 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

Estelle Holdings Co had a gross margin of 56.57% for the quarter that ended in Dec. 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.


Estelle Holdings Co Gross Margin % Related Terms

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Estelle Holdings Co (TSE:7872) Business Description

Traded in Other Exchanges
N/A
Address
Kamiyacho Central Place, 4-3-13 Toranomon, 5th Floor, Minato-ku, Tokyo, JPN, 105-0001
Estelle Holdings Co Ltd manufactures, processes and sells precious metals and gems. It offers rings, bracelets, piercing jewelry, earrings, and accessories and eyeglasses, among others. It operates chain of stores. It also engaged in the cosmetics business, accessory, clothing, and eye wear business.

Estelle Holdings Co (TSE:7872) Headlines

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