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Arctic Paper (WAR:ATC) Gross Margin % : 17.13% (As of Dec. 2023)


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What is Arctic Paper Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Arctic Paper's Gross Profit for the three months ended in Dec. 2023 was zł141 Mil. Arctic Paper's Revenue for the three months ended in Dec. 2023 was zł826 Mil. Therefore, Arctic Paper's Gross Margin % for the quarter that ended in Dec. 2023 was 17.13%.


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

WAR:ATC' s Gross Margin % Range Over the Past 10 Years
Min: 14.13   Med: 18.91   Max: 28.82
Current: 21.01


During the past 13 years, the highest Gross Margin % of Arctic Paper was 28.82%. The lowest was 14.13%. And the median was 18.91%.

WAR:ATC's Gross Margin % is ranked better than
54.23% of 284 companies
in the Forest Products industry
Industry Median: 19.75 vs WAR:ATC: 21.01

Arctic Paper had a gross margin of 17.13% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Arctic Paper was 6.90% per year.


Arctic Paper Gross Margin % Historical Data

The historical data trend for Arctic Paper'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.

Arctic Paper Gross Margin % Chart

Arctic Paper 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 18.78 19.03 20.74 28.82 21.01

Arctic Paper 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 22.15 26.09 16.94 22.60 17.13

Competitive Comparison of Arctic Paper's Gross Margin %

For the Paper & Paper Products subindustry, Arctic Paper'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.


Arctic Paper's Gross Margin % Distribution in the Forest Products Industry

For the Forest Products industry and Basic Materials sector, Arctic Paper's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Arctic Paper's Gross Margin % falls into.



Arctic Paper Gross Margin % Calculation

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

Arctic Paper'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 )
=745.7 / 3549.153
=(Revenue - Cost of Goods Sold) / Revenue
=(3549.153 - 2803.469) / 3549.153
=21.01 %

Arctic Paper'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 )
=141.5 / 825.888
=(Revenue - Cost of Goods Sold) / Revenue
=(825.888 - 684.406) / 825.888
=17.13 %

* 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.


Arctic Paper  (WAR:ATC) 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

Arctic Paper had a gross margin of 17.13% for the quarter that ended in Dec. 2023 => No sustainable 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.


Arctic Paper Gross Margin % Related Terms

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


Arctic Paper (WAR:ATC) Business Description

Traded in Other Exchanges
Address
UL. Fabryczna 1, Kostrzyn nad Odra, Lubuskie, POL, 66470
Arctic Paper SA is a holding company in Poland. The company produces a volume of bulky book paper and produces high-quality graphic paper in Europe. The group produces numerous types of uncoated and coated wood-free paper as well as wood-containing uncoated paper for printing houses, paper distributors, book and magazine publishing houses and the advertising industry. The company operates solely in the segment of high-quality graphic papers which is split into three core segments: Uncoated paper, Pulp, coated papers, and Other. Majority of revenue is generated from Uncoated segment.