Marks Electrical Group (LSE:MRK) Gross Margin % : 15.75% (As of Sep. 2023)

View and export this data going back to 2021. Start your Free Trial

What is Marks Electrical Group Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Marks Electrical Group's Gross Profit for the six months ended in Sep. 2023 was £8.5 Mil. Marks Electrical Group's Revenue for the six months ended in Sep. 2023 was £53.9 Mil. Therefore, Marks Electrical Group's Gross Margin % for the quarter that ended in Sep. 2023 was 15.75%.

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

LSE:MRK' s Gross Margin % Range Over the Past 10 Years
Min: 16.25 Med: 19.4 Max: 21.29
Current: 18.1

During the past 5 years, the highest Gross Margin % of Marks Electrical Group was 21.29%. The lowest was 16.25%. And the median was 19.40%.

LSE:MRK's Gross Margin % is ranked worse than
81.93% of 1096 companies
in the Retail - Cyclical industry
Industry Median: 36.675 vs LSE:MRK: 18.10

Marks Electrical Group had a gross margin of 15.75% for the quarter that ended in Sep. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Marks Electrical Group was 0.00% per year.

Marks Electrical Group Gross Margin % Historical Data

The historical data trend for Marks Electrical 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.

Marks Electrical Group Gross Margin % Chart

Marks Electrical Group Annual Data

Trend

Mar19

Mar20

Mar21

Mar22

Mar23

Gross Margin %

18.68

16.25

21.29

19.75

19.40

Marks Electrical Group Semi-Annual Data
	Mar19	Mar20	Sep20	Mar21	Sep21	Mar22	Sep22	Mar23	Sep23
Gross Margin %	Get a 7-Day Free Trial				19.22	20.22	18.10	20.43	15.75

Competitive Comparison of Marks Electrical Group's Gross Margin %

For the Internet Retail subindustry, Marks Electrical 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.

Marks Electrical Group's Gross Margin % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Marks Electrical Group's Gross Margin % distribution charts can be found below:

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

Marks Electrical Group Gross Margin % Calculation

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

Marks Electrical Group's Gross Margin for the fiscal year that ended in Mar. 2023 is calculated as

Gross Margin % (A: Mar. 2023 )	=	Gross Profit (A: Mar. 2023 )	/	Revenue (A: Mar. 2023 )
	=	19	/	97.754
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(97.754 - 78.792)	/	97.754
	=	19.40 %

Marks Electrical Group's Gross Margin for the quarter that ended in Sep. 2023 is calculated as

Gross Margin % (Q: Sep. 2023 )	=	Gross Profit (Q: Sep. 2023 )	/	Revenue (Q: Sep. 2023 )
	=	8.5	/	53.858
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(53.858 - 45.378)	/	53.858
	=	15.75 %

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.

Marks Electrical Group (LSE:MRK) 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

Marks Electrical Group had a gross margin of 15.75% for the quarter that ended in Sep. 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.

Marks Electrical Group Gross Margin % Related Terms

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

Marks Electrical Group (LSE:MRK) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Marks Electrical Group PLC (LSE:MRK) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

N/A

Address

4 Boston Road, Leicester, GBR, LE4 1AU

Website

https://www.markselectrical.co.uk

Marks Electrical Group PLC sells, delivers, installs, and recycles a wide range of household electrical products. Primarily through its retail website - markselectrical.co.uk, the company offers over 3,000 products from over fifty brands across its main product categories, which include Cooking, Refrigeration, Washers & Dryers, Dishwashers and Audio-Visual. These products are sourced from UK distributors of the brands, with whom the group maintains strong and direct relationships. Delivery to customers is operated by its own skilled team of delivery drivers in its owned and branded vehicles, who are also able to offer installation and recycling services.