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Adslot (ASX:ADS) Gross Margin % : 87.19% (As of Dec. 2023)


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What is Adslot Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Adslot's Gross Profit for the six months ended in Dec. 2023 was A$3.80 Mil. Adslot's Revenue for the six months ended in Dec. 2023 was A$4.36 Mil. Therefore, Adslot's Gross Margin % for the quarter that ended in Dec. 2023 was 87.19%.


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

ASX:ADS' s Gross Margin % Range Over the Past 10 Years
Min: 74.97   Med: 87.23   Max: 91.27
Current: 87.45


During the past 13 years, the highest Gross Margin % of Adslot was 91.27%. The lowest was 74.97%. And the median was 87.23%.

ASX:ADS's Gross Margin % is ranked better than
92.42% of 2627 companies
in the Software industry
Industry Median: 41.72 vs ASX:ADS: 87.45

Adslot had a gross margin of 87.19% for the quarter that ended in Dec. 2023 => Durable competitive advantage

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


Adslot Gross Margin % Historical Data

The historical data trend for Adslot'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.

Adslot Gross Margin % Chart

Adslot Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 87.65 86.81 83.33 88.41 87.84

Adslot 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 86.02 90.12 87.96 87.70 87.19

Competitive Comparison of Adslot's Gross Margin %

For the Software - Infrastructure subindustry, Adslot'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.


Adslot's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Adslot's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Adslot's Gross Margin % falls into.



Adslot Gross Margin % Calculation

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

Adslot's Gross Margin for the fiscal year that ended in Jun. 2023 is calculated as

Gross Margin % (A: Jun. 2023 )=Gross Profit (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=7.8 / 8.92
=(Revenue - Cost of Goods Sold) / Revenue
=(8.92 - 1.085) / 8.92
=87.84 %

Adslot'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 )
=3.8 / 4.357
=(Revenue - Cost of Goods Sold) / Revenue
=(4.357 - 0.558) / 4.357
=87.19 %

* 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.


Adslot  (ASX:ADS) 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

Adslot had a gross margin of 87.19% 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.


Adslot Gross Margin % Related Terms

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


Adslot (ASX:ADS) Business Description

Traded in Other Exchanges
N/A
Address
419 Collins Street, Level 2, Melbourne, VIC, AUS, 3000
Adslot Ltd is an internet technology and marketing company. The firm derives revenue from two principal activities: Trading Technology and Services. The majority of the revenue comes from Trading Technology that comprises Adslot - a media trading technology, and Symphony, workflow automation technology for media agencies, and the Services segment includes digital marketing services provided by the company's webfirm division and project-based customization of trading technology. The company reports its segments based on geographical locations: APAC (Australia, New Zealand, and Asia), EMEA (Europe, the Middle East, and Africa), and the Americas (North, Central, and South America), out of which the majority of the revenue comes from APAC.

Adslot (ASX:ADS) Headlines

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