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Willamette Valley Vineyards (Willamette Valley Vineyards) Gross Margin % : 57.14% (As of Dec. 2023)


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What is Willamette Valley Vineyards Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Willamette Valley Vineyards's Gross Profit for the three months ended in Dec. 2023 was $6.14 Mil. Willamette Valley Vineyards's Revenue for the three months ended in Dec. 2023 was $10.75 Mil. Therefore, Willamette Valley Vineyards's Gross Margin % for the quarter that ended in Dec. 2023 was 57.14%.

Warning Sign:

Willamette Valley Vineyards Inc gross margin has been in long-term decline. The average rate of decline per year is -2.5%.


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

WVVI' s Gross Margin % Range Over the Past 10 Years
Min: 55.44   Med: 60.86   Max: 64.04
Current: 57.64


During the past 13 years, the highest Gross Margin % of Willamette Valley Vineyards was 64.04%. The lowest was 55.44%. And the median was 60.86%.

WVVI's Gross Margin % is ranked better than
79.23% of 207 companies
in the Beverages - Alcoholic industry
Industry Median: 38.78 vs WVVI: 57.64

Willamette Valley Vineyards had a gross margin of 57.14% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Willamette Valley Vineyards was -2.50% per year.


Willamette Valley Vineyards Gross Margin % Historical Data

The historical data trend for Willamette Valley Vineyards'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.

Willamette Valley Vineyards Gross Margin % Chart

Willamette Valley Vineyards 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 61.80 61.25 58.72 55.44 57.64

Willamette Valley Vineyards 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 55.96 53.89 58.28 60.82 57.14

Competitive Comparison of Willamette Valley Vineyards's Gross Margin %

For the Beverages - Wineries & Distilleries subindustry, Willamette Valley Vineyards'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.


Willamette Valley Vineyards's Gross Margin % Distribution in the Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Willamette Valley Vineyards's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Willamette Valley Vineyards's Gross Margin % falls into.



Willamette Valley Vineyards Gross Margin % Calculation

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

Willamette Valley Vineyards'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 )
=22.6 / 39.136
=(Revenue - Cost of Goods Sold) / Revenue
=(39.136 - 16.579) / 39.136
=57.64 %

Willamette Valley Vineyards'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 )
=6.1 / 10.753
=(Revenue - Cost of Goods Sold) / Revenue
=(10.753 - 4.609) / 10.753
=57.14 %

* 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.


Willamette Valley Vineyards  (NAS:WVVI) 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

Willamette Valley Vineyards had a gross margin of 57.14% 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.


Willamette Valley Vineyards Gross Margin % Related Terms

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


Willamette Valley Vineyards (Willamette Valley Vineyards) Business Description

Traded in Other Exchanges
Address
8800 Enchanted Way, South East, Turner, OR, USA, 97392
Willamette Valley Vineyards Inc produces and sells premium, super-premium, and ultra-premium wines. The grapes are harvested, fermented, and made into wine at the company's Turner winery, and the wines are sold principally under its Willamette Valley Vineyards label and also under the Griffin Creek, Tualatin Estate, Pambrun, Maison Bleue, Natoma, Metis, and Elton labels. It operates under two operating segments, direct sales and distributor sales. Direct sales include retail sales in its tasting room and remote sites, wine club sales, online sales, on-site events, kitchen and catering sales, and other sales made directly to the consumer without the use of an intermediary. Distributor sales include all sales through a third party where prices are given at a wholesale rate.
Executives
James W Bernau director, 10 percent owner, officer: Chief Executive Officer 2545 CLOVERDALE RD SE, TURNER OR 97392
Sarah Alice Rose director 6821 50TH AVE NE, SEATTLE WA 98115
Day Cara Pepper director 1088 SW PRESTWICK CT., WILSONVILLE OR 97070
Stanley G Turel director 604 SE 121ST AVE, C/O ARBOR PARK OFFICE, VANCOUVER WA 98683
John Alphonsus Ferry officer: CFO 15830 FOREST RIDGE LANE NE, SILVERTON OR 97381
Leslie J Copland director 2350 NW SAVIER STREET, UNIT 406, PORTLAND OR 97210
Goward Richard F. Jr. officer: CFO 2623 ABBEY LN. SE, SALEM OR 97317
Heather Westing director 25030 SW PARKWAY AVE, SUITE 300, WILSONVILLE OR 97070
James L Ellis director 7850 SE KING ROAD, MILWAUKIE OR 97222
Craig Alan Smith director 367 SANRODEE DR. SE, SALEM OR 97317
Jonathan J Ricci director C/O JONES SODA CO., 234 9TH AVE. N., SEATTLE WA 98109
O Brien Betty M director 22500 INGRAM LANE NW, SALEM OR 97304
Christopher L Sarles director 2185 SW WINCHESTER, PORTLAND OR 97225-4457
Chris Riccardi 10 percent owner 15 STEDMAN WAY, LOUDONVILLE NY 12211
Delna L. Jones director 39692 CAMINO TEMPLADO, INDIO CA 92203

Willamette Valley Vineyards (Willamette Valley Vineyards) Headlines