X2M Connect (ASX:X2M) Gross Margin % : 37.07% (As of Dec. 2023)

View and export this data going back to 2021. Start your Free Trial

What is X2M Connect Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. X2M Connect's Gross Profit for the six months ended in Dec. 2023 was A$2.77 Mil. X2M Connect's Revenue for the six months ended in Dec. 2023 was A$7.48 Mil. Therefore, X2M Connect's Gross Margin % for the quarter that ended in Dec. 2023 was 37.07%.

The historical rank and industry rank for X2M Connect's Gross Margin % or its related term are showing as below:

ASX:X2M' s Gross Margin % Range Over the Past 10 Years
Min: 22.27 Med: 22.87 Max: 29.76
Current: 29.76

During the past 2 years, the highest Gross Margin % of X2M Connect was 29.76%. The lowest was 22.27%. And the median was 22.87%.

ASX:X2M's Gross Margin % is ranked better than
61.66% of 2439 companies
in the Hardware industry
Industry Median: 24.37 vs ASX:X2M: 29.76

X2M Connect had a gross margin of 37.07% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for X2M Connect was 0.00% per year.

X2M Connect Gross Margin % Historical Data

The historical data trend for X2M Connect'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.

X2M Connect Gross Margin % Chart

X2M Connect Annual Data

Trend

Jun22

Jun23

Gross Margin %

22.27

23.46

X2M Connect Semi-Annual Data
	Dec20	Dec21	Jun22	Dec22	Jun23	Dec23
Gross Margin %	Get a 7-Day Free Trial			20.35	23.77	24.47	22.20	37.07

Competitive Comparison of X2M Connect's Gross Margin %

For the Scientific & Technical Instruments subindustry, X2M Connect'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.

X2M Connect's Gross Margin % Distribution in the Hardware Industry

For the Hardware industry and Technology sector, X2M Connect's Gross Margin % distribution charts can be found below:

* The bar in red indicates where X2M Connect's Gross Margin % falls into.

X2M Connect Gross Margin % Calculation

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

X2M Connect'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 )
	=	3.8	/	16.213
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(16.213 - 12.41)	/	16.213
	=	23.46 %

X2M Connect'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 )
	=	2.8	/	7.484
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(7.484 - 4.71)	/	7.484
	=	37.07 %

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.

X2M Connect (ASX:X2M) 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

X2M Connect had a gross margin of 37.07% 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.

X2M Connect Gross Margin % Related Terms

Thank you for viewing the detailed overview of X2M Connect's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.

X2M Connect (ASX:X2M) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Hardware » X2M Connect Ltd (ASX:X2M) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

N/A

Address

18-24 Ricketts Road, Suite 1.01b, Building B, Mount Waverley, VIC, AUS, 3149

Website

https://www.x2mconnect.com

X2M Connect Ltd is an Internet of Things (IoT) technology company that uses the internet to deliver productivity improvements, cost savings, and improved public safety to enterprise and government customers. Its focus is servicing the utility sector in the Asia-Pacific utility market through the provision of technology that connects devices over the internet, such as water meters and gas pressure sensors, and which enables data exchange and control of these devices. The company's geographical segment includes South Korea; China; Taiwan and other countries. It derives a majority of revenue from South Korea.

X2M Connect (ASX:X2M) Headlines

No Headlines