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Quaker Houghton (Quaker Houghton) Gross Margin % : 36.64% (As of Dec. 2023)


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What is Quaker Houghton Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Quaker Houghton's Gross Profit for the three months ended in Dec. 2023 was $171 Mil. Quaker Houghton's Revenue for the three months ended in Dec. 2023 was $467 Mil. Therefore, Quaker Houghton's Gross Margin % for the quarter that ended in Dec. 2023 was 36.64%.


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

KWR' s Gross Margin % Range Over the Past 10 Years
Min: 31.52   Med: 35.84   Max: 37.66
Current: 36.13


During the past 13 years, the highest Gross Margin % of Quaker Houghton was 37.66%. The lowest was 31.52%. And the median was 35.84%.

KWR's Gross Margin % is ranked better than
79.07% of 1510 companies
in the Chemicals industry
Industry Median: 22.315 vs KWR: 36.13

Quaker Houghton had a gross margin of 36.64% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Quaker Houghton was -0.90% per year.


Quaker Houghton Gross Margin % Historical Data

The historical data trend for Quaker Houghton'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.

Quaker Houghton Gross Margin % Chart

Quaker Houghton 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 34.59 36.22 33.76 31.52 36.13

Quaker Houghton 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 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 32.23 34.68 35.87 37.37 36.64

Competitive Comparison of Quaker Houghton's Gross Margin %

For the Specialty Chemicals subindustry, Quaker Houghton'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.


Quaker Houghton's Gross Margin % Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Quaker Houghton's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Quaker Houghton's Gross Margin % falls into.



Quaker Houghton Gross Margin % Calculation

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

Quaker Houghton'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 )
=705.6 / 1953.313
=(Revenue - Cost of Goods Sold) / Revenue
=(1953.313 - 1247.669) / 1953.313
=36.13 %

Quaker Houghton'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 )
=171.2 / 467.109
=(Revenue - Cost of Goods Sold) / Revenue
=(467.109 - 295.953) / 467.109
=36.64 %

* 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.


Quaker Houghton  (NYSE:KWR) 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

Quaker Houghton had a gross margin of 36.64% for the quarter that ended in Dec. 2023 => 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.


Quaker Houghton Gross Margin % Related Terms

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


Quaker Houghton (Quaker Houghton) Business Description

Traded in Other Exchanges
N/A
Address
901 East Hector Street, Conshohocken, PA, USA, 19428-2380
Quaker Houghton manufactures and sells a variety of industrial process fluids. The product portfolio of the company includes metal removal fluids, cleaning fluids, corrosion inhibitors, metal drawing and forming fluids, die cast mold releases, heat treatment and quenchants, metal forging fluids, hydraulic fluids, specialty greases, offshore sub-sea energy control fluids, rolling lubricants, rod and wire drawing fluids and surface treatment chemicals. The geographic segments of the company includes America, EMEA, Asia/Pacific and Global Specialty Businesses. Majority of the revenue is earned from America.
Executives
Jeewat Bijlani officer: SVP - Managing Director, Ams. QUAKER CHEMICAL CORPORATION, ONE QUAKER PARK, 901 E. HECTOR STREET, CONSHOHOCKEN PA 19428-2380
Anna Ransley officer: SVP, CDIO QUAKER CHEMICAL CORPORATION, 901 E. HECTOR STREET, CONSHOHOCKEN PA 19428-2380
Russell Shaller director 6555 WEST GOOD HOPE RD, MILWAUKEE WI 53223
Melissa Leneis officer: SVP, CHRO QUAKER CHEMICAL CORPORATION, 901 E. HECTOR STREET, CONSHOHOCKEN PA 19428-2380
Jeffry D Frisby director C/O QUAKER CHEMICAL CORPORATION, ONE QUAKER PARK, 901 HECTOR STREET, CONSHOHOCKEN PA 19428
David Slinkman officer: SVP - Chief Technology Officer QUAKER CHEMICAL CORPORATION, ONE QUAKER PARK, 901 E. HECTOR STREET, CONSHOHOCKEN PA 19428-2380
Joseph A Berquist officer: VP & Managing Director - NA QUAKER CHEMICAL CORPORATION, ONE QUAKER PARK, 901 E. HECTOR STREET, CONSHOHOCKEN PA 19428-2380
Robert T Traub officer: SVP, GC & Corp. Sec. QUAKER CHEMICAL CORPORATION, ONE QUAKER PARK, 901 E. HECTOR STREET, CONSHOHOCKEN PA 19428-2380
David Will other: VP, Global Controller & PAO QUAKER CHEMICAL CORPORATION, 901 E. HECTOR STREET, CONSHOHOCKEN PA 19428-2380
Michael F Barry officer: VP & CFO & Treasurer ONE QUAKER PARK, 901 HECTOR ST, CONSHOHOCHEN PA 19428
Jeffrey L Fleck officer: SVP, Chief GSCO 1310 SEABOARD INDUSTRIAL BLVD, ATLANTA X1 30318
L Wilbert Platzer officer: VP - WWO
Dieter Laininger officer: Vice President - Global Steel QUAKER CHEMICAL CORPORATION, ONE QUAKER PARK, 901 E. HECTOR STREET, CONSHOHOCKEN PA 19428-2380
Gulf Hungary Holding Korlatolt Felelossegu Tarsasag 10 percent owner FURJ UTCA 2, BUDAPEST K5 1124
Qh Hungary Holdings Ltd 10 percent owner STERLING TRUST CAYMAN LTD, WH, 238 NORTH CHURCH STREET, P.O BOX 1043, GEORGE TOWN E9 KY1-1102

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