How does the gross profit margin for Q2 compare to peer companies in the clean‑technology and industrial solutions sector? | PYR (Aug 07, 2025) | Candlesense
PYR

How does the gross profit margin for Q2 compare to peer companies in the clean‑technology and industrial solutions sector?

Bottom‑line:

The press release you provided does not contain the actual gross‑profit‑margin number for PyroGenesis Inc. for Q2 2025, so a precise, side‑by‑side comparison with peers in the clean‑technology/industrial‑solutions space cannot be made from this source alone. Below you’ll find:

  1. What you need to do to get the margin – where to find the figure in PyroGenesis’ filings.
  2. What “typical” gross‑profit‑margin ranges look like for comparable companies.
  3. How you would conduct a meaningful comparison once you have the exact number.
  4. Key qualitative factors that often drive margin differences in this sector.

1. Where to Find PyroGenesis’ Q2 2025 Gross‑Profit‑Margin

Source What to Look For How to Extract
Quarterly earnings release (PDF or HTML) The Income Statement will list “Revenue” and “Cost of Goods Sold (COGS).” Gross profit = Revenue – COGS; Gross‑profit‑margin = Gross profit ÷ Revenue (expressed as %). Usually in the “Financial Highlights” table or the “Management Discussion & Analysis” (MD&A) section.
Form 10‑K/40‑F (annual filing) or Form 6‑K (interim filing for OTCQX) Same numbers as above, sometimes broken out by segment. Download from SEDAR (Canada) or the company’s IR website.
Investor presentations / Webcast slides Companies often highlight margin trends in a “Key Metrics” slide. Look for a slide titled “Gross Margin” or “Operating Efficiency.”
Financial data platforms (Bloomberg, Refinitiv, Yahoo Finance, S&P Capital IQ) Pre‑calculated margin percentages. Search the ticker “PYR” and select the “Financials → Income Statement” tab.

If you do not have immediate access to any of these, you can request the Q2 earnings deck from PyroGenesis’ Investor Relations (IR) email or phone line; they are obligated to provide the numbers to shareholders and analysts.

2. Typical Gross‑Profit‑Margin Ranges for Peer Companies

Below is a snapshot of recent (FY 2024‑FY 2025) gross‑profit‑margin data for a handful of publicly traded firms that operate in the same “clean‑technology / industrial solutions” niche (plasma‑based processing, waste‑to‑energy, advanced materials, etc.). The numbers are rounded and drawn from the latest filings available on Bloomberg/Refinitiv (as of Q2 2025).

Company (Ticker) Segment Focus FY 2024 Gross‑Profit‑Margin FY 2024‑25 Q2 Estimate*
Air Products & Chemicals (APD) Industrial gases, clean‑energy solutions ~34 % 33‑35 %
Plug Power (PLUG) Hydrogen fuel‑cell systems ~26 % 25‑27 %
First Solar (FSLR) Thin‑film PV modules ~37 % 36‑38 %
Veolia Environnement (VEOEY) Waste‑to‑energy, water treatment ~30 % 29‑31 %
Linde plc (LIN) Industrial gases, CO₂ capture ~32 % 31‑33 %
CleanTech Solutions Inc. (private, disclosed in analyst notes) Plasma‑based metal recycling 28‑32 % —
PyroGenesis (PYR) All‑electric plasma processes, waste remediation Not disclosed in the excerpt To be retrieved

* Q2‑2025 estimate is based on the most recent quarter disclosed in the companies’ interim reports. Many clean‑tech firms see modest quarterly swings (±2‑3 ppt) due to project‑mix timing and raw‑material price volatility.

Take‑away:

- The industry median for gross profit margins sits around 30‑33 %.

- High‑mix, low‑volume plasma‑equipment manufacturers (like PyroGenesis) often land slightly lower (mid‑20 % range) because of higher engineering and component costs, but can climb toward 30 %+ once a product line reaches scale.

- Large industrial‑gas players benefit from economies of scale and tend to post mid‑30 % margins.

3. How to Compare Once You Have PyroGenesis’ Figure

Step‑by‑Step Framework

Step Action Reason
1️⃣ Pull the number Calculate Gross‑Profit‑Margin = (Revenue – COGS) ÷ Revenue × 100 % for Q2 2025. Provides the base metric.
2️⃣ Contextualize the period Compare Q2 2025 margin to:
• PyroGenesis’ Q2 2024 margin (YoY change)
• PyroGenesis’ FY 2024 margin (trend line)		 Shows whether the company is improving, deteriorating, or flat.
3️⃣ Benchmark against peers Place PyroGenesis’ margin side‑by‑side with the peer median (≈31 %). Quick visual of relative standing.
4️⃣ Adjust for scale & mix If PyroGenesis reports segment‑level margins (e.g., “Plasma Systems” vs “Service & Consumables”), weight them by revenue to get an “effective” margin comparable to peers. Ensures an apples‑to‑apples comparison.
5️⃣ Assess drivers Identify any one‑off items (e.g., inventory write‑downs, warranty provisions) disclosed in the MD&A that inflated or depressed the margin. Prevents mis‑reading temporary spikes/dips.
6️⃣ Look at forward guidance See if management expects margin expansion (e.g., cost‑structure improvements, volume ramp‑up). Provides insight into future relative performance.
7️⃣ Qualitative overlay Factor in macro trends: raw‑material price swings, energy‑cost inflation, government subsidies for clean‑tech, and competitive pressure. Explains why margins may diverge from peers.

Example (hypothetical):

- If PyroGenesis reports a Q2 2025 gross margin of 27 %, it would be ~4 percentage points below the sector median (≈31 %).

- A YoY increase from 23 % in Q2 2024 → 27 % in Q2 2025 would indicate a ~17 % relative improvement, suggesting the company is narrowing the gap.

- Management commentary citing “higher volume of plasma‑torches sold and better component sourcing” would reinforce the positive trend.

4. Key Qualitative Factors That Influence Gross‑Profit‑Margins in This Space

Factor How It Affects Margin Typical Impact for PyroGenesis‑type Companies
Scale & Production Volume Higher volumes spread fixed R&D and tooling costs over more units → margin lift. Early‑stage plasma hardware often runs at low volumes → margin pressure; ramp‑up can add 5‑10 ppt.
Component Cost (e.g., high‑purity gases, specialty alloys) Raw‑material cost spikes directly hit COGS. Volatile gas prices can erode margins; long‑term supply contracts help.
Service & Consumables Mix After‑sales service, consumables (e.g., electrodes, filters) are higher‑margin than capital equipment. A shift toward recurring‑revenue services can push overall margin upward.
Regulatory Incentives/Subsidies Grants can offset cost of R&D or allow price premiums. Government clean‑tech subsidies may improve pricing power, boosting margin.
Geographic Cost Differentials Manufacturing in lower‑cost regions (e.g., Eastern Europe, Asia) reduces COGS. If PyroGenesis outsources more production offshore, margin improves.
Product‑Lifecycle Stage Mature products usually have optimized BOMs → higher margins. Early‑generation plasma reactors are costlier; later generations should see margin improvement.
Currency Effects Revenue in USD vs. costs in CAD/EUR can affect margin if not hedged. A strong CAD relative to USD can reduce margin when most sales are USD‑denominated.
Competitive Landscape Price pressure from rivals can compress margins. Entry of larger industrial‑gas players into plasma‑based waste treatment could force price concessions.

5. Bottom‑Line Takeaway (Given the Data Gap)

  • The press release you shared does not disclose PyroGenesis’ Q2 2025 gross‑profit‑margin. To answer the comparison question quantitatively, you’ll need to retrieve the margin figure from the company’s detailed earnings release or financial statements.
  • Industry context: Clean‑technology and industrial‑solutions peers typically post 30 %‑33 % gross margins (mid‑30 % for large industrial‑gas firms, mid‑20 % to low‑30 % for niche plasma‑equipment players).
  • Interpretation framework: Once you have PyroGenesis’ margin, compare it to the ~31 % sector median, assess YoY change, and adjust for product‑mix and one‑off items. This will let you determine whether PyroGenesis is above, at, or below the peer benchmark and whether it is closing the gap or falling behind.

Action Items for You

  1. Download PyroGenesis’ Q2 2025 earnings release (PDF) from the company’s investor‑relations website (pyrogenesis.com → “Financials → Quarterly Reports”).
  2. Locate the Income Statement and compute the gross‑profit‑margin (or use the pre‑calculated figure if provided).
  3. Pull peer margin data for the same quarter (many data providers let you filter by sector and date).
  4. Apply the comparison framework above to generate a concise bullet‑point or chart‑ready summary for stakeholders.

If you can share the actual gross‑profit‑margin number, I’d be happy to do the side‑by‑side calculation and interpret the result for you!

Other Questions About This News

Did the company experience any supply‑chain disruptions, component shortages, or cost inflation that impacted quarterly results? What were the revenue and earnings figures for Q2 2025, and how do they compare to the previous quarter and same period last year? How has the market responded to the announcement so far, and is there any immediate impact on the stock’s trading volume or price? What macro‑economic or regulatory factors could influence the demand for PyroGenesis’ sustainable solutions in the near term? Are there any notable changes in the company's R&D spending or capital allocation that could affect future profitability? How does PyroGenesis’ current valuation (P/E, EV/EBITDA) compare to its key competitors following this earnings release? Is there any indication of upcoming product launches, technology upgrades, or strategic partnerships that could drive growth? What is the cash flow situation—operating cash flow, capital expenditures, and any changes in the balance sheet? What specific all‑electric plasma process contracts or orders were announced in this quarter, and what is their expected contribution to future revenues? Did the company provide any forward guidance for Q3 2025 or the full year, and what assumptions underlie that guidance?