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PW Medtech Group (FRA:PWE) Gross Margin % : 57.32% (As of Dec. 2023)


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What is PW Medtech Group Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. PW Medtech Group's Gross Profit for the six months ended in Dec. 2023 was €26.21 Mil. PW Medtech Group's Revenue for the six months ended in Dec. 2023 was €45.73 Mil. Therefore, PW Medtech Group's Gross Margin % for the quarter that ended in Dec. 2023 was 57.32%.

Warning Sign:

PW Medtech Group Ltd gross margin has been in long-term decline. The average rate of decline per year is -2.3%.


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

FRA:PWE' s Gross Margin % Range Over the Past 10 Years
Min: 55.67   Med: 61.26   Max: 74.95
Current: 56.42


During the past 12 years, the highest Gross Margin % of PW Medtech Group was 74.95%. The lowest was 55.67%. And the median was 61.26%.

FRA:PWE's Gross Margin % is ranked better than
55.81% of 801 companies
in the Medical Devices & Instruments industry
Industry Median: 52.9 vs FRA:PWE: 56.42

PW Medtech Group had a gross margin of 57.32% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for PW Medtech Group was -2.30% per year.


PW Medtech Group Gross Margin % Historical Data

The historical data trend for PW Medtech Group'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.

PW Medtech Group Gross Margin % Chart

PW Medtech Group 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 61.33 60.08 61.19 55.66 56.42

PW Medtech Group Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 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 60.60 56.52 55.10 55.42 57.32

Competitive Comparison of PW Medtech Group's Gross Margin %

For the Medical Instruments & Supplies subindustry, PW Medtech Group'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.


PW Medtech Group's Gross Margin % Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, PW Medtech Group's Gross Margin % distribution charts can be found below:

* The bar in red indicates where PW Medtech Group's Gross Margin % falls into.



PW Medtech Group Gross Margin % Calculation

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

PW Medtech Group'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 )
=48.9 / 86.7
=(Revenue - Cost of Goods Sold) / Revenue
=(86.7 - 37.782) / 86.7
=56.42 %

PW Medtech Group'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 )
=26.2 / 45.729
=(Revenue - Cost of Goods Sold) / Revenue
=(45.729 - 19.517) / 45.729
=57.32 %

* 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.


PW Medtech Group  (FRA:PWE) 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

PW Medtech Group had a gross margin of 57.32% 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.


PW Medtech Group Gross Margin % Related Terms

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PW Medtech Group (FRA:PWE) Business Description

Traded in Other Exchanges
Address
Building 1, No. 23 Panlong West Road, Pinggu District, Beijing, CHN, 101204
PW Medtech Group Ltd is a medical device company with a focus on fast-growing and high-margin segments of China's medical device industry. The company is engaged in the research and development, manufacturing, and sale of the advanced infusion set, intravenous cannula products, and insulin needles. Its products include non-PVC-based infusion sets, precision filter infusion sets, light-resistant infusion sets, intravenous cannula products, and insulin needles and pens. The company operates through three business segments: Infusion Set Business; Blood Purification Business; and Regenerative Medical Biomaterials Business.

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