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Helios Towers (LSE:HTWS) Gross Margin % : 37.46% (As of Dec. 2023)


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What is Helios Towers Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Helios Towers's Gross Profit for the six months ended in Dec. 2023 was £109.7 Mil. Helios Towers's Revenue for the six months ended in Dec. 2023 was £292.9 Mil. Therefore, Helios Towers's Gross Margin % for the quarter that ended in Dec. 2023 was 37.46%.


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

LSE:HTWS' s Gross Margin % Range Over the Past 10 Years
Min: 16.51   Med: 33.36   Max: 37.53
Current: 37.53


During the past 8 years, the highest Gross Margin % of Helios Towers was 37.53%. The lowest was 16.51%. And the median was 33.36%.

LSE:HTWS's Gross Margin % is ranked worse than
64.29% of 350 companies
in the Telecommunication Services industry
Industry Median: 49.145 vs LSE:HTWS: 37.53

Helios Towers had a gross margin of 37.46% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Helios Towers was 4.70% per year.


Helios Towers Gross Margin % Historical Data

The historical data trend for Helios Towers'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.

Helios Towers Gross Margin % Chart

Helios Towers Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial 32.47 35.72 34.25 34.74 37.53

Helios Towers Semi-Annual Data
Dec16 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 33.71 34.59 34.88 37.61 37.46

Competitive Comparison of Helios Towers's Gross Margin %

For the Telecom Services subindustry, Helios Towers'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.


Helios Towers's Gross Margin % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Helios Towers's Gross Margin % distribution charts can be found below:

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



Helios Towers Gross Margin % Calculation

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

Helios Towers'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 )
=213.8 / 569.59
=(Revenue - Cost of Goods Sold) / Revenue
=(569.59 - 355.816) / 569.59
=37.53 %

Helios Towers'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 )
=109.7 / 292.932
=(Revenue - Cost of Goods Sold) / Revenue
=(292.932 - 183.201) / 292.932
=37.46 %

* 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.


Helios Towers  (LSE:HTWS) 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

Helios Towers had a gross margin of 37.46% 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.


Helios Towers Gross Margin % Related Terms

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


Helios Towers (LSE:HTWS) Business Description

Traded in Other Exchanges
Address
5 Merchant Square West, 10th Floor, London, GBR, W2 1AS
Helios Towers PLC is a United Kingdom-based company engaged in providing telecommunications towers and infrastructure. It offers tower-related operational services, including site selection, site preparation, maintenance, security and power management. The company's geographical operating segment includes Ghana, Tanzania, DRC, Congo Brazzaville, South Africa, Senegal, Madagascar, Malawi and Oman. It generates maximum revenue from the DRC segment. The solutions offered by the company include Colocation, Build-to-suit, In-building solutions, and Managed Services.

Helios Towers (LSE:HTWS) Headlines

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