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NKTR (Nektar Therapeutics) Gross Margin % : 58.53% (As of Jun. 2024)


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What is Nektar Therapeutics Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Nektar Therapeutics's Gross Profit for the three months ended in Jun. 2024 was $13.75 Mil. Nektar Therapeutics's Revenue for the three months ended in Jun. 2024 was $23.49 Mil. Therefore, Nektar Therapeutics's Gross Margin % for the quarter that ended in Jun. 2024 was 58.53%.

Warning Sign:

Nektar Therapeutics gross margin has been in long-term decline. The average rate of decline per year is -7.1%.


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

NKTR' s Gross Margin % Range Over the Past 10 Years
Min: 59.22   Med: 83.48   Max: 97.95
Current: 59.22


During the past 13 years, the highest Gross Margin % of Nektar Therapeutics was 97.95%. The lowest was 59.22%. And the median was 83.48%.

NKTR's Gross Margin % is ranked worse than
51.75% of 744 companies
in the Biotechnology industry
Industry Median: 60.605 vs NKTR: 59.22

Nektar Therapeutics had a gross margin of 58.53% for the quarter that ended in Jun. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Nektar Therapeutics was -7.10% per year.


Nektar Therapeutics Gross Margin % Historical Data

The historical data trend for Nektar Therapeutics'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.

Nektar Therapeutics Gross Margin % Chart

Nektar Therapeutics 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 81.35 87.26 75.57 76.50 62.53

Nektar Therapeutics Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
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 65.88 48.51 69.51 60.56 58.53

Competitive Comparison of Nektar Therapeutics's Gross Margin %

For the Biotechnology subindustry, Nektar Therapeutics'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.


Nektar Therapeutics's Gross Margin % Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Nektar Therapeutics's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Nektar Therapeutics's Gross Margin % falls into.



Nektar Therapeutics Gross Margin % Calculation

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

Nektar Therapeutics'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 )
=56.4 / 90.122
=(Revenue - Cost of Goods Sold) / Revenue
=(90.122 - 33.768) / 90.122
=62.53 %

Nektar Therapeutics's Gross Margin for the quarter that ended in Jun. 2024 is calculated as


Gross Margin % (Q: Jun. 2024 )=Gross Profit (Q: Jun. 2024 ) / Revenue (Q: Jun. 2024 )
=13.7 / 23.489
=(Revenue - Cost of Goods Sold) / Revenue
=(23.489 - 9.74) / 23.489
=58.53 %

* 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.


Nektar Therapeutics  (NAS:NKTR) 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

Nektar Therapeutics had a gross margin of 58.53% for the quarter that ended in Jun. 2024 => 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.


Nektar Therapeutics Gross Margin % Related Terms

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


Nektar Therapeutics Business Description

Traded in Other Exchanges
Address
455 Mission Bay Boulevard South, San Francisco, CA, USA, 94158
Nektar Therapeutics is a biopharmaceutical company. It has wholly-owned research and development pipeline of investigational medicines in oncology, immunology, and virology as well as a portfolio of approved partnered medicines. In oncology, The company is focused on activating the immune system natural tumor-fighting mechanisms, and it will be studying several immuno-oncology drug candidates in the clinic for a variety of cancer indications. In immunology, it is focused on addressing imbalances in the immune system to restore the body's self-tolerance mechanisms and achieve immune homeostasis. In virology, the company believes selective immuno-modulators can be useful in addressing viral infections in people. The group derives revenue from the United States and the Rest of the World.
Executives
Howard W Robin director, officer: President & CEO
Jonathan Zalevsky officer: Chief R&D Officer 455 MISSION BAY BOULEVARD SOUTH, C/O NEKTAR THERAPEUTICS, SAN FRANCISCO CA 94158
Mark Andrew Wilson officer: SVP & General Counsel 1613 RAY DRIVE, BURLINGAME CA 94010
Robert Chess director, officer: Executive Chairman
Myriam Curet director 1020 KIFER ROAD, SUNNYVALE CA 94086
Jeffrey Robert Ajer director C/O BIOMARIN PHARMACEUTICAL INC., 105 DIGITAL DRIVE, NOVATO CA 94949
Sandra A. Gardiner officer: Chief Financial Officer CUTERA, INC., 3240 BAYSHORE BOULEVARD, BRISBANE CA 94005
Jillian B. Thomsen officer: VP & Chief Accounting Officer C/O NEKTAR THERAPEUTICS, 201 INDUSTRIAL ROAD, SAN CARLOS CA 94070
Karin Eastham director C/O BURNHAM INSTITUTE FOR MEDICAL RESEAR, 10901 N. TORREY PINES ROAD, LA JOLLA CA 92037
Gil M Labrucherie officer: SVP, COO & CFO 150 INDUSTRIAL ROAD, SAN CARLOS CA 94070
John Northcott officer: SVP & Chief Commercial Officer 455 MISSION BAY BOULEVARD SOUTH, C/O NEKTAR THERAPEUTICS, SAN FRANCISCO CA 94158
Diana Brainard director C/O ALLOVIR, INC., 139 MAIN STREET, SUITE 500, CAMBRIDGE MA 02142
R Scott Greer director 6207 E. INDIAN BEND RD, PARADISE VALLEY AZ 85253
Lutz Lingnau director 15 INDIAN HOLLOW ROAD, MENDHAM NJ 07945
Stephen K Doberstein officer: Chief Scientific Officer 129 ELSIE STREET, SAN FRANCISCO CA 94110

Nektar Therapeutics Headlines