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LiqTech International (LiqTech International) Gross Margin % : 6.95% (As of Dec. 2023)


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What is LiqTech International Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. LiqTech International's Gross Profit for the three months ended in Dec. 2023 was $0.27 Mil. LiqTech International's Revenue for the three months ended in Dec. 2023 was $3.93 Mil. Therefore, LiqTech International's Gross Margin % for the quarter that ended in Dec. 2023 was 6.95%.

Warning Sign:

LiqTech International Inc gross margin has been in long-term decline. The average rate of decline per year is -7.5%.


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

LIQT' s Gross Margin % Range Over the Past 10 Years
Min: 1.82   Med: 9.92   Max: 21.94
Current: 15.42


During the past 13 years, the highest Gross Margin % of LiqTech International was 21.94%. The lowest was 1.82%. And the median was 9.92%.

LIQT's Gross Margin % is ranked worse than
80.42% of 2937 companies
in the Industrial Products industry
Industry Median: 26.45 vs LIQT: 15.42

LiqTech International had a gross margin of 6.95% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for LiqTech International was -7.50% per year.


LiqTech International Gross Margin % Historical Data

The historical data trend for LiqTech International'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.

LiqTech International Gross Margin % Chart

LiqTech International 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 21.94 9.53 8.62 3.55 15.41

LiqTech International 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 1.64 9.75 23.31 18.72 6.95

Competitive Comparison of LiqTech International's Gross Margin %

For the Pollution & Treatment Controls subindustry, LiqTech International'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.


LiqTech International's Gross Margin % Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, LiqTech International's Gross Margin % distribution charts can be found below:

* The bar in red indicates where LiqTech International's Gross Margin % falls into.



LiqTech International Gross Margin % Calculation

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

LiqTech International'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 )
=2.8 / 18.002
=(Revenue - Cost of Goods Sold) / Revenue
=(18.002 - 15.227) / 18.002
=15.41 %

LiqTech International'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 )
=0.3 / 3.93
=(Revenue - Cost of Goods Sold) / Revenue
=(3.93 - 3.657) / 3.93
=6.95 %

* 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.


LiqTech International  (NAS:LIQT) 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

LiqTech International had a gross margin of 6.95% 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.


LiqTech International Gross Margin % Related Terms

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


LiqTech International (LiqTech International) Business Description

Traded in Other Exchanges
N/A
Address
Industriparken 22C, Ballerup, DNK, DK 2750
LiqTech International Inc is a clean technology company which provides technology for gas and liquid purification by manufacturing ceramic silicon carbide filters. The company is engaged in three businesses that are diesel particulate filters (DPF) for the control of soot from diesel engines, turnkey ceramic membranes systems, and complete water treatment plants. The company's product portfolio consists of ceramic silicon membranes for liquid filtration, diesel particulate filters, and kiln furniture. Its operating segment includes Water, Ceramics, and Plastics. The company generates maximum revenue from Ceramics segment. Geographically, it derives a majority of its revenue from Europe.
Executives
Simon Seidelin Stadil officer: Chief Financial Officer INDUSTRIPARKEN 22C, BALLERUP G7 2750
Martin Kunz director INDUSTRIPARKEN 22C, BALLERUP G7 2750
Fei Chen director, officer: Chief Executive Officer STOLBERGSVEJ 23, HORSHOLM G7 2970
Richard A Meeusen director P O BOX 23099, MILWAUKEE WI 532230099
Peyton Boswell director 805 THIRD AVE., 20TH FLOOR, NEW YORK NY 10022
Mark Vernon director 200 SOUTH BISCAYNE BLVD, MIAMI FL 33131
Alexander J Buehler director C/O INSITUFORM TECHNOLOGIES, INC., 17988 EDISON AVENUE, CHESTERFIELD MO 63005
Laurence W Lytton 10 percent owner 467 CENTRAL PARK WEST, NY NY 10025
Awm Investment Company, Inc. 10 percent owner 527 MADISON AVENUE, SUITE 2600, NEW YORK NY 10022
Claus Toftegaard officer: Chief Financial Officer INDUSTRIPARKEN 22C, BALLERUP G7 2750
Peter Leifland director VALEVAGEN 21,5-18264, DJURSHOLM V7 00000
Joel Gay director 10264 NW 75TH TERRACE, DORAL FL 33178
Norman H Pessin other: See Explanation of Responses C/O LEVY, HARKINS & CO., INC., 366 MADISON AVENUE, 14TH FLOOR, NEW YORK NY 10017
Sandra F Pessin other: See Explanation of Responses C/O NORMAN PESSIN, 366 MADISON AVENUE, 14TH FLOOR, NEW YORK NY 10017
Brian L. Pessin other: See Explanation of Responses 310 EAST 75TH STREET, APT. 2A, NEW YORK NY 10021