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TXO Partners LP (TXO Partners LP) Gross Margin % : 35.35% (As of Mar. 2024)


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What is TXO Partners LP Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. TXO Partners LP's Gross Profit for the three months ended in Mar. 2024 was $23.8 Mil. TXO Partners LP's Revenue for the three months ended in Mar. 2024 was $67.4 Mil. Therefore, TXO Partners LP's Gross Margin % for the quarter that ended in Mar. 2024 was 35.35%.


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

TXO' s Gross Margin % Range Over the Past 10 Years
Min: 15.9   Med: 40.88   Max: 52.2
Current: 35.69

During the past 4 years, the highest Gross Margin % of TXO Partners LP was 52.20%. The lowest was 15.90%. And the median was 40.88%.

TXO's Gross Margin % is ranked better than
60.5% of 929 companies
in the Oil & Gas industry
Industry Median: 28 vs TXO: 35.69

TXO Partners LP had a gross margin of 35.35% for the quarter that ended in Mar. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for TXO Partners LP was 0.00% per year.

TXO Partners LP Gross Margin % Historical Data

The historical data trend for TXO Partners LP'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.

TXO Partners LP Gross Margin % Chart

TXO Partners LP Annual Data
Trend Dec20 Dec21 Dec22 Dec23
Gross Margin %
15.90 52.20 31.40 50.35

TXO Partners LP Quarterly Data
Dec20 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 70.79 15.83 33.78 50.44 35.35

Competitive Comparison of TXO Partners LP's Gross Margin %

For the Oil & Gas E&P subindustry, TXO Partners LP'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.

TXO Partners LP's Gross Margin % Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, TXO Partners LP's Gross Margin % distribution charts can be found below:

* The bar in red indicates where TXO Partners LP's Gross Margin % falls into.


TXO Partners LP Gross Margin % Calculation

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

TXO Partners LP'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 )
=191.7 / 380.718
=(Revenue - Cost of Goods Sold) / Revenue
=(380.718 - 189.018) / 380.718
=50.35 %

TXO Partners LP'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 )
=23.8 / 67.439
=(Revenue - Cost of Goods Sold) / Revenue
=(67.439 - 43.6) / 67.439
=35.35 %

* 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.

TXO Partners LP  (NYSE:TXO) 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

TXO Partners LP had a gross margin of 35.35% 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.

TXO Partners LP Gross Margin % Related Terms

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

TXO Partners LP (TXO Partners LP) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » TXO Partners LP (NYSE:TXO) » Definitions » Gross Margin %
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Traded in Other Exchanges
7OJ:Germany
Address
400 West 7th Street, Fort Worth, TX, USA, 76102
Website
https://www.txopartners.com
TXO Partners LP is focused on the acquisition, development, optimization and exploitation of oil, natural gas, and natural gas liquid reserves in North America.
Executives
Phillip R Kevil director, other: See Remarks C/O MORNINGSTAR PARTNERS, L.P., 400 WEST 7TH STREET, FORT WORTH TX 76102
King Luther Capital Management Corp 10 percent owner 301 COMMERCE SUITE 1600, FORT WORTH TX 76102
Bob R Simpson director, 10 percent owner, officer: See Remarks, other: See Remarks C/O MORNINGSTAR PARTNERS, L.P., 400 WEST 7TH STREET, FORT WORTH TX 76102
Keith A Hutton director, 10 percent owner, officer: See Remarks, other: See Remarks C/O MORNINGSTAR PARTNERS, L.P., 400 WEST 7TH STREET, FORT WORTH TX 76102
Adams William H Iii director, other: See Remarks C/O MORNINGSTAR PARTNERS, L.P., 400 WEST 7TH STREET, FORT WORTH TX 76102
Global Endowment Management, Lp 10 percent owner 224 W TREMONT AVE, CHARLOTTE NC 28203
Lkcm Investment Partnership, L.p. 10 percent owner 301 COMMERCE STREET, SUITE 1600, FORT WORTH TX 76102
Lkcm Private Discipline Master Fund, Spc 10 percent owner PO BOX 309GT, UGLAND HOUSE, SOUTH CHURCH STREET, GRAND CAYMAN E9 00000
King J Luther Jr director, 10 percent owner, other: See Remarks C/O MORNINGSTAR PARTNERS, L.P., 400 WEST 7TH STREET, FORT WORTH TX 76102
Brent W. Clum director, officer: See Remarks, other: See Remarks C/O MORNINGSTAR PARTNERS, L.P., 400 W. 7TH STREET, FORT WORTH TX 76102
Scott T. Agosta officer: See Remarks, other: See Remarks C/O MORNINGSTAR PARTNERS, L.P., 400 W. 7TH STREET, FORT WORTH TX 76102
Richard Jacob Settle director, other: See Remarks C/O MORNINGSTAR PARTNERS, L.P., 400 WEST 7TH STREET, FORT WORTH TX 76102