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Swiss Steel Holding AG (XSWX:STLN) Gross Margin % : 22.88% (As of Dec. 2023)


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What is Swiss Steel Holding AG Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Swiss Steel Holding AG's Gross Profit for the six months ended in Dec. 2023 was CHF299 Mil. Swiss Steel Holding AG's Revenue for the six months ended in Dec. 2023 was CHF1,308 Mil. Therefore, Swiss Steel Holding AG's Gross Margin % for the quarter that ended in Dec. 2023 was 22.88%.

Warning Sign:

Swiss Steel Holding AG gross margin has been in long-term decline. The average rate of decline per year is -5.3%.


The historical rank and industry rank for Swiss Steel Holding AG's Gross Margin % or its related term are showing as below:

XSWX:STLN' s Gross Margin % Range Over the Past 10 Years
Min: 26.74   Med: 35.62   Max: 39.59
Current: 26.8


During the past 13 years, the highest Gross Margin % of Swiss Steel Holding AG was 39.59%. The lowest was 26.74%. And the median was 35.62%.

XSWX:STLN's Gross Margin % is ranked better than
80.79% of 583 companies
in the Steel industry
Industry Median: 12.95 vs XSWX:STLN: 26.80

Swiss Steel Holding AG had a gross margin of 22.88% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Swiss Steel Holding AG was -5.30% per year.


Swiss Steel Holding AG Gross Margin % Historical Data

The historical data trend for Swiss Steel Holding AG'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.

Swiss Steel Holding AG Gross Margin % Chart

Swiss Steel Holding AG 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 32.24 33.85 34.86 28.31 26.74

Swiss Steel Holding AG Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 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 33.01 30.95 25.35 29.62 22.88

Competitive Comparison of Swiss Steel Holding AG's Gross Margin %

For the Steel subindustry, Swiss Steel Holding AG'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.


Swiss Steel Holding AG's Gross Margin % Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, Swiss Steel Holding AG's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Swiss Steel Holding AG's Gross Margin % falls into.



Swiss Steel Holding AG Gross Margin % Calculation

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

Swiss Steel Holding AG'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 )
=818.1 / 3059.525
=(Revenue - Cost of Goods Sold) / Revenue
=(3059.525 - 2241.407) / 3059.525
=26.74 %

Swiss Steel Holding AG'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 )
=299.2 / 1307.951
=(Revenue - Cost of Goods Sold) / Revenue
=(1307.951 - 1008.713) / 1307.951
=22.88 %

* 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.


Swiss Steel Holding AG  (XSWX:STLN) 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

Swiss Steel Holding AG had a gross margin of 22.88% 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.


Swiss Steel Holding AG Gross Margin % Related Terms

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Swiss Steel Holding AG (XSWX:STLN) Business Description

Traded in Other Exchanges
Address
Landenbergstrasse 11, Lucerne, CHE, 6005
Swiss Steel Holding AG is a manufacturer, processor, and distributor of long steel products. The company operates through two segments, Production and Sales and services. Its products include quality steel, tool steel, bright steel, and special materials, etc. The company also offers service, which includes technical service, prefabrication, and timely delivery service. It generates maximum revenue from the Production segment. The company derives the majority of its revenues from Germany.

Swiss Steel Holding AG (XSWX:STLN) Headlines

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