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Melia Hotels International (Melia Hotels International) Gross Margin % : 88.70% (As of Dec. 2023)


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What is Melia Hotels International Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Melia Hotels International's Gross Profit for the three months ended in Dec. 2023 was $430 Mil. Melia Hotels International's Revenue for the three months ended in Dec. 2023 was $485 Mil. Therefore, Melia Hotels International's Gross Margin % for the quarter that ended in Dec. 2023 was 88.70%.


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

SMIZF' s Gross Margin % Range Over the Past 10 Years
Min: 87.39   Med: 88.87   Max: 89.51
Current: 89.11


During the past 13 years, the highest Gross Margin % of Melia Hotels International was 89.51%. The lowest was 87.39%. And the median was 88.87%.

SMIZF's Gross Margin % is ranked better than
92.44% of 767 companies
in the Travel & Leisure industry
Industry Median: 43.25 vs SMIZF: 89.11

Melia Hotels International had a gross margin of 88.70% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Melia Hotels International was -0.10% per year.


Melia Hotels International Gross Margin % Historical Data

The historical data trend for Melia Hotels International'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.

Melia Hotels International Gross Margin % Chart

Melia Hotels International 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 88.88 88.86 88.93 89.06 89.10

Melia Hotels International 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 88.50 88.66 89.26 89.59 88.70

Competitive Comparison of Melia Hotels International's Gross Margin %

For the Lodging subindustry, Melia Hotels International'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.


Melia Hotels International's Gross Margin % Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Melia Hotels International's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Melia Hotels International's Gross Margin % falls into.



Melia Hotels International Gross Margin % Calculation

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

Melia Hotels International'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 )
=1868.2 / 2096.73
=(Revenue - Cost of Goods Sold) / Revenue
=(2096.73 - 228.493) / 2096.73
=89.10 %

Melia Hotels International'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 )
=429.9 / 484.625
=(Revenue - Cost of Goods Sold) / Revenue
=(484.625 - 54.774) / 484.625
=88.70 %

* 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.


Melia Hotels International  (OTCPK:SMIZF) 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

Melia Hotels International had a gross margin of 88.70% for the quarter that ended in Dec. 2023 => 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.


Melia Hotels International Gross Margin % Related Terms

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Melia Hotels International (Melia Hotels International) Business Description

Traded in Other Exchanges
Address
Gremio Toneleros, 24, Poligono Son Castello, Palma de Mallorca, Baleares, ESP, 07009
Melia Hotels International SA is a Spanish owner and operator of hotels. The company operates midscale, upscale, and premium hotels across several brands, including Sol Hotels & Resorts, Melia Hotels & Resorts, and Gran Melia. Melia may either own or lease the hotels it operates, and hotel operation contributes the majority of company revenue. In addition, hotel owners may operate hotels under a Melia brand in a franchise agreement, or can contract Melia's management services to operate the hotel on its behalf. The company generates approximately half of its revenue in Spain, and the rest from America and the EMEA region.

Melia Hotels International (Melia Hotels International) Headlines

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