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Aica Kogyo Co (TSE:4206) Gross Margin % : 28.29% (As of Dec. 2023)


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What is Aica Kogyo Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Aica Kogyo Co's Gross Profit for the three months ended in Dec. 2023 was 円17,420 Mil. Aica Kogyo Co's Revenue for the three months ended in Dec. 2023 was 円61,568 Mil. Therefore, Aica Kogyo Co's Gross Margin % for the quarter that ended in Dec. 2023 was 28.29%.

Warning Sign:

Aica Kogyo Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -3.1%.


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

TSE:4206' s Gross Margin % Range Over the Past 10 Years
Min: 23.46   Med: 27.07   Max: 30.01
Current: 26.34


During the past 13 years, the highest Gross Margin % of Aica Kogyo Co was 30.01%. The lowest was 23.46%. And the median was 27.07%.

TSE:4206's Gross Margin % is ranked better than
53.44% of 479 companies
in the Conglomerates industry
Industry Median: 25.04 vs TSE:4206: 26.34

Aica Kogyo Co had a gross margin of 28.29% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Aica Kogyo Co was -3.10% per year.


Aica Kogyo Co Gross Margin % Historical Data

The historical data trend for Aica Kogyo 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.

Aica Kogyo Co Gross Margin % Chart

Aica Kogyo Co Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 25.87 27.12 28.36 25.21 23.46

Aica Kogyo 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 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 23.17 24.43 25.85 26.71 28.29

Competitive Comparison of Aica Kogyo Co's Gross Margin %

For the Conglomerates subindustry, Aica Kogyo 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.


Aica Kogyo Co's Gross Margin % Distribution in the Conglomerates Industry

For the Conglomerates industry and Industrials sector, Aica Kogyo Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Aica Kogyo Co's Gross Margin % falls into.



Aica Kogyo Co Gross Margin % Calculation

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

Aica Kogyo 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 )
=56798 / 242055
=(Revenue - Cost of Goods Sold) / Revenue
=(242055 - 185257) / 242055
=23.46 %

Aica Kogyo 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 )
=17420 / 61568
=(Revenue - Cost of Goods Sold) / Revenue
=(61568 - 44148) / 61568
=28.29 %

* 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.


Aica Kogyo Co  (TSE:4206) 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

Aica Kogyo Co had a gross margin of 28.29% 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.


Aica Kogyo Co Gross Margin % Related Terms

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Aica Kogyo Co (TSE:4206) Business Description

Traded in Other Exchanges
Address
1-1 1-1 Meina Station, JP Tower Nagoya, 26th Floor, Aichi, JPN
Aica Kogyo Co Ltd is a Japanese manufacturing company. It operates its business in four segments which are Chemical Products, Specialty & Performance Materials, Laminated Sheets, and Building & Housing Materials. The company mainly provides adhesives, resin, melamine doors, wall coating materials, countertops, decorative panels, polyester panels and boards. It also provides solar batteries, lamps, and silicone materials.

Aica Kogyo Co (TSE:4206) Headlines

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