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SDN Co (XKRX:099220) Gross Margin % : 4.43% (As of Dec. 2023)


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What is SDN Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. SDN Co's Gross Profit for the three months ended in Dec. 2023 was ₩1,314 Mil. SDN Co's Revenue for the three months ended in Dec. 2023 was ₩29,695 Mil. Therefore, SDN Co's Gross Margin % for the quarter that ended in Dec. 2023 was 4.43%.

Warning Sign:

SDN Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -6.8%.


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

XKRX:099220' s Gross Margin % Range Over the Past 10 Years
Min: 18.19   Med: 25.57   Max: 33.46
Current: 18.19


During the past 13 years, the highest Gross Margin % of SDN Co was 33.46%. The lowest was 18.19%. And the median was 25.57%.

XKRX:099220's Gross Margin % is ranked worse than
70.56% of 975 companies
in the Semiconductors industry
Industry Median: 28.54 vs XKRX:099220: 18.19

SDN Co had a gross margin of 4.43% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for SDN Co was -6.80% per year.


SDN Co Gross Margin % Historical Data

The historical data trend for SDN 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.

SDN Co Gross Margin % Chart

SDN Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 26.67 19.18 23.67 19.26 18.19

SDN Co Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 14.98 24.78 21.89 36.81 4.43

Competitive Comparison of SDN Co's Gross Margin %

For the Semiconductors subindustry, SDN 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.


SDN Co's Gross Margin % Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, SDN Co's Gross Margin % distribution charts can be found below:

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



SDN Co Gross Margin % Calculation

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

SDN 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 )
=13769.1 / 75692.042
=(Revenue - Cost of Goods Sold) / Revenue
=(75692.042 - 61922.935) / 75692.042
=18.19 %

SDN Co'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 )
=1314.2 / 29695.323
=(Revenue - Cost of Goods Sold) / Revenue
=(29695.323 - 28381.151) / 29695.323
=4.43 %

* 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.


SDN Co  (XKRX:099220) 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

SDN Co had a gross margin of 4.43% for the quarter that ended in Dec. 2023 => 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.


SDN Co Gross Margin % Related Terms

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SDN Co (XKRX:099220) Business Description

Traded in Other Exchanges
N/A
Address
21, Daewangpangyo- ro 644beon- gil, 3rd Floor Medipost, Bundang-gu, Gyeonggi-do, Seongnam-si, KOR
SDN Co Ltd is engaged in the business domains of Photovoltaic business, Engine division and Shipbuilding division. In Photovoltaic business, the company offers products for the construction of solar power plants, including solar modules, inverters, junction boxes, structures, monitoring systems, switchgear and sensors. In the engine division, the company offers the outboard engine and other parts. In the Shipbuilding division, the organization offers fishing boats, special line, small-scale marine equipment and other related products.

SDN Co (XKRX:099220) Headlines

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