The historical rank and industry rank for Arch Resources's Gross Margin % or its related term are showing as below:
ARCH'
s Gross Margin % Range Over the Past 10 Years
Min: 6.07 Med: 19.61 Max: 37.2
Current: 22.11
During the past 13 years, the highestGross Margin % of Arch Resources was 37.20%. The lowest was 6.07%. And the median was 19.61%.
ARCH's Gross Margin % is ranked better than 76.75% of 585
companies
in the Steel industry
Industry Median: 13.01
vs ARCH: 22.11
Arch Resources had a gross margin of 16.53% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Arch Resources was 13.80% per year.
Arch Resources Gross Margin % Historical Data
The historical data trend for Arch Resources'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.
Competitive Comparison of Arch Resources's Gross Margin %
For the Coking Coal subindustry, Arch Resources'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.
Arch Resources's Gross Margin % Distribution in the Steel Industry
For the Steel industry and Basic Materials sector, Arch Resources's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Arch Resources's Gross Margin % falls into.
* 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.
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
Arch Resources had a gross margin of 16.53% for the quarter that ended in Mar. 2024 => 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.
Arch Resources Gross Margin % Related Terms
Thank you for viewing the detailed overview of Arch Resources's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.
Arch Resources (Arch Resources) Business Description
Arch Resources Inc is a producer of metallurgical and coking coal. The company sells its coal to power plants, steel mills, and industrial facilities. Its operating segment includes Metallurgical (MET) and Thermal. It generates maximum revenue from the Metallurgical (MET) segment. Geographically, it derives a majority of its revenue from Asia.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
ARCH has been successfully added to your 