T.RAD Co (TSE:7236) Gross Margin % : 9.13% (As of Dec. 2023)

View and export this data going back to 1961. Start your Free Trial

What is T.RAD Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. T.RAD Co's Gross Profit for the three months ended in Dec. 2023 was 円3,826 Mil. T.RAD Co's Revenue for the three months ended in Dec. 2023 was 円41,910 Mil. Therefore, T.RAD Co's Gross Margin % for the quarter that ended in Dec. 2023 was 9.13%.

Warning Sign:

T.RAD Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -7%.

The historical rank and industry rank for T.RAD Co's Gross Margin % or its related term are showing as below:

TSE:7236' s Gross Margin % Range Over the Past 10 Years
Min: 7.93 Med: 10.95 Max: 12.81
Current: 8.76

During the past 13 years, the highest Gross Margin % of T.RAD Co was 12.81%. The lowest was 7.93%. And the median was 10.95%.

TSE:7236's Gross Margin % is ranked worse than
87.19% of 1265 companies
in the Vehicles & Parts industry
Industry Median: 19.67 vs TSE:7236: 8.76

T.RAD Co had a gross margin of 9.13% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for T.RAD Co was -7.00% per year.

T.RAD Co Gross Margin % Historical Data

The historical data trend for T.RAD 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.

T.RAD Co Gross Margin % Chart

T.RAD Co Annual Data

Trend

Mar14

Mar15

Mar16

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Gross Margin %

Get a 7-Day Free Trial

11.62

10.32

9.59

11.31

7.93

T.RAD Co 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															7.36	8.04	8.95	8.77	9.13

Competitive Comparison of T.RAD Co's Gross Margin %

For the Auto Parts subindustry, T.RAD 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.

T.RAD Co's Gross Margin % Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, T.RAD Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where T.RAD Co's Gross Margin % falls into.

T.RAD Co Gross Margin % Calculation

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

T.RAD Co'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 )
	=	11855	/	149413
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(149413 - 137558)	/	149413
	=	7.93 %

T.RAD Co'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 )
	=	3826	/	41910
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(41910 - 38084)	/	41910
	=	9.13 %

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.

T.RAD Co (TSE:7236) 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

T.RAD Co had a gross margin of 9.13% 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.

T.RAD Co Gross Margin % Related Terms

Thank you for viewing the detailed overview of T.RAD Co's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.

T.RAD Co (TSE:7236) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Vehicles & Parts » T.RAD Co Ltd (TSE:7236) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

N/A

Address

Aioi Insurance Shinjyuku Bldg., 3-25-3,Yoyogi, Shibuya-ku, Tokyo, JPN, 151-0053

Website

http://www.trad.co.jp

T.RAD Co Ltd engages in manufacture and sale of automobile parts and other machinery. Its services include the manufacturing and marketing of heat exchangers for automobiles, construction, and industrial machines, air conditioners, distributed generators, parts for automobiles, environment-related equipment, and others. The firm's main products consist of radiators, oil coolers, EGR coolers, intercoolers, recuperators, fin coils for air conditioners, and other heat exchangers.

T.RAD Co (TSE:7236) Headlines

No Headlines