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STL Technology Co (ROCO:4931) Gross Margin % : 14.10% (As of Mar. 2024)


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What is STL Technology Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. STL Technology Co's Gross Profit for the three months ended in Mar. 2024 was NT$74 Mil. STL Technology Co's Revenue for the three months ended in Mar. 2024 was NT$525 Mil. Therefore, STL Technology Co's Gross Margin % for the quarter that ended in Mar. 2024 was 14.10%.

Warning Sign:

STL Technology Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -3.2%.


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

ROCO:4931' s Gross Margin % Range Over the Past 10 Years
Min: -1.84   Med: 14.44   Max: 18.78
Current: 13.02


During the past 13 years, the highest Gross Margin % of STL Technology Co was 18.78%. The lowest was -1.84%. And the median was 14.44%.

ROCO:4931's Gross Margin % is ranked worse than
85.46% of 2930 companies
in the Industrial Products industry
Industry Median: 26.545 vs ROCO:4931: 13.02

STL Technology Co had a gross margin of 14.10% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for STL Technology Co was -3.20% per year.


STL Technology Co Gross Margin % Historical Data

The historical data trend for STL Technology Co'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.

STL Technology Co Gross Margin % Chart

STL Technology Co Annual Data
Trend Dec12 Dec13 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 18.78 17.57 10.31 16.79 15.53

STL Technology Co Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 20.31 18.24 0.97 13.74 14.10

Competitive Comparison of STL Technology Co's Gross Margin %

For the Electrical Equipment & Parts subindustry, STL Technology Co'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.


STL Technology Co's Gross Margin % Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, STL Technology Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where STL Technology Co's Gross Margin % falls into.



STL Technology Co Gross Margin % Calculation

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

STL Technology Co'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 )
=265.7 / 1710.605
=(Revenue - Cost of Goods Sold) / Revenue
=(1710.605 - 1444.942) / 1710.605
=15.53 %

STL Technology Co's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=74.1 / 525.451
=(Revenue - Cost of Goods Sold) / Revenue
=(525.451 - 451.358) / 525.451
=14.10 %

* 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.


STL Technology Co  (ROCO:4931) 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

STL Technology Co had a gross margin of 14.10% for the quarter that ended in Mar. 2024 => No sustainable 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.


STL Technology Co Gross Margin % Related Terms

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STL Technology Co (ROCO:4931) Business Description

Traded in Other Exchanges
N/A
Address
No. 1, West 15th Street, Qianzhen District, Kaohsiung, TWN, 80681
STL Technology Co Ltd is engaged in the manufacturing and sales of lithium-ion battery modules in Taiwan. Its products are mainly focused on industrial applications such as gardening and hand-held power tools, light electric vehicles, and energy storage system devices.

STL Technology Co (ROCO:4931) Headlines

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