Vertiv Holdings Co (Vertiv Holdings Co) Gross Margin % : 34.56% (As of Mar. 2024)

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What is Vertiv Holdings Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Vertiv Holdings Co's Gross Profit for the three months ended in Mar. 2024 was $566 Mil. Vertiv Holdings Co's Revenue for the three months ended in Mar. 2024 was $1,639 Mil. Therefore, Vertiv Holdings Co's Gross Margin % for the quarter that ended in Mar. 2024 was 34.56%.

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

VRT' s Gross Margin % Range Over the Past 10 Years
Min: 28.39 Med: 32.1 Max: 35.4
Current: 35.4

During the past 8 years, the highest Gross Margin % of Vertiv Holdings Co was 35.40%. The lowest was 28.39%. And the median was 32.10%.

VRT's Gross Margin % is ranked better than
71.92% of 2945 companies
in the Industrial Products industry
Industry Median: 26.54 vs VRT: 35.40

Vertiv Holdings Co had a gross margin of 34.56% for the quarter that ended in Mar. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Vertiv Holdings Co was 0.00% per year.

Vertiv Holdings Co Gross Margin % Historical Data

The historical data trend for Vertiv 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.

Vertiv Holdings Co Gross Margin % Chart

Vertiv Holdings Co Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Gross Margin %

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33.72

30.47

28.39

34.98

Vertiv Holdings Co Quarterly Data
	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24
Gross Margin %	Get a 7-Day Free Trial															32.58	34.25	36.02	36.64	34.56

Competitive Comparison of Vertiv Holdings Co's Gross Margin %

For the Electrical Equipment & Parts subindustry, Vertiv 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.

Vertiv Holdings Co's Gross Margin % Distribution in the Industrial Products Industry

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

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

Vertiv Holdings Co Gross Margin % Calculation

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

Vertiv Holdings Co'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 )
	=	2400.5	/	6863.2
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(6863.2 - 4462.7)	/	6863.2
	=	34.98 %

Vertiv Holdings Co's Gross Margin for the quarter that ended in Mar. 2024 is calculated as

Gross Margin % (Q: Mar. 2024 )	=	Gross Profit (Q: Mar. 2024 )	/	Revenue (Q: Mar. 2024 )
	=	566.4	/	1639.1
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(1639.1 - 1072.7)	/	1639.1
	=	34.56 %

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.

Vertiv Holdings Co (NYSE:VRT) 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

Vertiv Holdings Co had a gross margin of 34.56% for the quarter that ended in Mar. 2024 => Competition eroding margins

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.

Vertiv Holdings Co Gross Margin % Related Terms

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Vertiv Holdings Co (Vertiv Holdings Co) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Vertiv Holdings Co (NYSE:VRT) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

49V:Germany 49V:Germany

Address

505 N. Cleveland Ave., Westerville, OH, USA, 43082

Website

https://www.vertiv.com

Vertiv Holdings Co brings together hardware, software, analytics and ongoing services to ensure its customers' vital applications run continuously, perform optimally and grow with their business needs. The company solves the important challenges faced by data centers, communication networks and commercial and industrial facilities with a portfolio of power, cooling and IT infrastructure solutions and services that extends from the cloud to the edge of the network. Its services include critical power, thermal management, racks and enclosures, monitoring and management, and other services. Its three business segments include the Americas, Asia Pacific; and Europe, Middle East & Africa.

Executives

Vpe Holdings, Llc	director, 10 percent owner	360 NORTH CRESCENT DRIVE, SOUTH BUILDING, BEVERLY HILLS CA 90210
Scott Cripps	officer: Chief Accounting Officer	C/O VERTIV HOLDINGS CO, 1050 DEARBORN DRIVE, COLUMBUS OH 43085
Platinum Equity Partners Iii, Llc	director	C/O PLATINUM EQUITY ADVISORS, LLC, 360 NORTH CRESCENT DRIVE, SOUTH BUILDING, BEVERLY HILLS CA 90210
Doherty Philip O'	officer: Managing Director, E+I	1050 DEARBORN DRIVE, COLUMBUS OH 43085
Anders Karlborg	officer: EVP, Man., Logistics and Op Ex	505 N. CLEVELAND AVE., WESTERVILLE OH 43082
Stephen Liang	officer: President of Asia Pacific	C/O VERTIV HOLDINGS CO, 1050 DEARBORN DRIVE, COLUMBUS OH 43085
Paul Ryan	officer: Chief Procurement Officer	505 N. CLEVELAND AVE., WESTERVILLE OH 43082
Platinum Equity Partners Iv, L.p.	director, 10 percent owner	C/O PLATINUM EQUITY ADVISORS, LLC, 360 NORTH CRESCENT DRIVE, SOUTH BUILDING, BEVERLY HILLS CA 90210
Platinum Equity Partners Iv, Llc	director, 10 percent owner	C/O PLATINUM EQUITY ADVISORS, LLC, 360 NORTH CRESCENT DRIVE, SOUTH BUILDING, BEVERLY HILLS CA 90210
Lim Cheryl H.j.	officer: Chief Human Resources Officer	1050 DEARBORN DRIVE, COLUMBUS OH 43085
Joseph J Deangelo	director	3100 CUMBERLAND BOULEVARD, SUITE 1700, ATLANTA GA 30339
Jakki L. Haussler	director	221 EAST FOURTH STREET, CINCINNATI OH 45202
Michael J. Kitson	officer: Chief Procurement Officer	1050 DEARBORN DRIVE, COLUMBUS OH 43085
John F. Marion	officer: EVP, Quality, VOS and Process	1050 DEARBORN DRIVE, COLUMBUS OH 43085
David Joseph Fallon	officer: Chief Financial Officer	28213 VAN DYKE AVENUE, WARREN MI 48093