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Cementir Holding NV (MIL:CEM) Gross Margin % : 50.02% (As of Dec. 2023)


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What is Cementir Holding NV Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Cementir Holding NV's Gross Profit for the three months ended in Dec. 2023 was €200 Mil. Cementir Holding NV's Revenue for the three months ended in Dec. 2023 was €399 Mil. Therefore, Cementir Holding NV's Gross Margin % for the quarter that ended in Dec. 2023 was 50.02%.

Warning Sign:

Cementir Holding NV gross margin has been in long-term decline. The average rate of decline per year is -2.5%.


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

MIL:CEM' s Gross Margin % Range Over the Past 10 Years
Min: 53.37   Med: 60.56   Max: 62.52
Current: 55.78


During the past 13 years, the highest Gross Margin % of Cementir Holding NV was 62.52%. The lowest was 53.37%. And the median was 60.56%.

MIL:CEM's Gross Margin % is ranked better than
89.78% of 372 companies
in the Building Materials industry
Industry Median: 24.94 vs MIL:CEM: 55.78

Cementir Holding NV had a gross margin of 50.02% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Cementir Holding NV was -2.50% per year.


Cementir Holding NV Gross Margin % Historical Data

The historical data trend for Cementir Holding NV'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.

Cementir Holding NV Gross Margin % Chart

Cementir Holding NV 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 62.52 61.69 60.11 53.37 57.13

Cementir Holding NV 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 49.24 55.71 56.38 60.35 50.02

Competitive Comparison of Cementir Holding NV's Gross Margin %

For the Building Materials subindustry, Cementir Holding NV'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.


Cementir Holding NV's Gross Margin % Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Cementir Holding NV's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Cementir Holding NV's Gross Margin % falls into.



Cementir Holding NV Gross Margin % Calculation

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

Cementir Holding NV'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 )
=967.9 / 1694.247
=(Revenue - Cost of Goods Sold) / Revenue
=(1694.247 - 726.365) / 1694.247
=57.13 %

Cementir Holding NV'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 )
=199.7 / 399.208
=(Revenue - Cost of Goods Sold) / Revenue
=(399.208 - 199.514) / 399.208
=50.02 %

* 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.


Cementir Holding NV  (MIL:CEM) 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

Cementir Holding NV had a gross margin of 50.02% 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.


Cementir Holding NV Gross Margin % Related Terms

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Cementir Holding NV (MIL:CEM) Business Description

Traded in Other Exchanges
Address
Zuidplein 36, Amsterdam, NH, NLD, 1077 XV
Cementir Holding NV is engaged in operating in the building materials sector and focused on four main business lines: grey cement, white cement, ready-mixed concrete, and aggregates. The Group's geographical areas are: The Nordic & Baltic region includes Denmark, Norway, Sweden, Iceland, Poland, and the white cement operations in Belgium and France. The Belgium region includes the activities of the Compagnie des Ciments Belges S.A. group in Belgium and France. The North America region includes the United States. The Asia Pacific region includes China, Malaysia, and Australia. The Holding and Services include the Parent Company, Spartan Hive and Aalborg Portland Digital, and other smaller companies.