BGC Group (BGC Group) Gross Margin %

: 45.33% (As of Dec. 2023)

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Gross Margin % is calculated as gross profit divided by its revenue. BGC Group's Gross Profit for the three months ended in Dec. 2023 was $227 Mil. BGC Group's Revenue for the three months ended in Dec. 2023 was $500 Mil. Therefore, BGC Group's Gross Margin % for the quarter that ended in Dec. 2023 was 45.33%.

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

BGC' s Gross Margin % Range Over the Past 10 Years
Min: 31.77 Med: 41.98 Max: 47.18
Current: 45.11

During the past 13 years, the highest Gross Margin % of BGC Group was 47.18%. The lowest was 31.77%. And the median was 41.98%.

BGC's Gross Margin % is ranked worse than
52.73% of 605 companies
in the Capital Markets industry
Industry Median: 50.25 vs BGC: 45.11

BGC Group had a gross margin of 45.33% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for BGC Group was 0.80% per year.

BGC Group Gross Margin % Historical Data

The historical data trend for BGC Group'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.

BGC Group Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Gross Margin %

41.98

40.54

31.77

47.18

45.11

BGC Group Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Gross Margin %																52.99	44.85	44.23	46.06	45.33

Competitive Comparison

For the Capital Markets subindustry, BGC Group'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.

BGC Group Gross Margin % Distribution

For the Capital Markets industry and Financial Services sector, BGC Group's Gross Margin % distribution charts can be found below:

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

BGC Group Gross Margin % Calculation

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

BGC Group'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 )
	=	893.2	/	1979.979
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(1979.979 - 1086.775)	/	1979.979
	=	45.11 %

BGC Group'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 )
	=	226.7	/	500.174
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(500.174 - 273.429)	/	500.174
	=	45.33 %

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.

BGC Group (NAS:BGC) 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

BGC Group had a gross margin of 45.33% 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.

BGC Group Gross Margin % Related Terms

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BGC Group (BGC Group) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Capital Markets » BGC Group Inc (NAS:BGC) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

ESD:Germany

Address

499 Park Avenue, New York, NY, USA, 10022

Website

https://www.bgcg.com

BGC Group Inc is a brokerage and financial technology company that serves the global financial markets. Its service and product offerings include brokerage for a wide range of financial products including fixed income, equities, commodities, derivatives, and real estate, software solutions for trading platforms, clearing, trade execution, and other back-office services. Its clients mostly include banks, brokerage houses, hedge funds, and investment banks. BGC operates in one reportable segment, which is providing brokerage services to the financial markets. The company earns the majority of its revenue in the United Kingdom followed by the United States.

Executives

William Dean Addas	director	C/O DEUTSCHE BANK, 300 S. GRAND AVENUE, LOS ANGELES CA 90071-3109
Jason W. Hauf	officer: Chief Financial Officer	BGC PARTNERS, 499 PARK AVENUE, NEW YORK NY 10022
Arthur U Mbanefo	director	280 PARK AVENUE 40 WEST, CO ORIX, NEW YORK NY 10017
Sean A Windeatt	officer: Chief Operating Officer	C/O BGC PARTNERS, INC., 499 PARK AVENNUE NY 10022
Stephen M Merkel	officer: EVP and General Counsel	C/O BGC PARTNERS, INC., 499 PARK AVENUE, NEW YORK NY 10022
Linda A Bell	director	C/O BGC PARTNERS, INC., 499 PARK AVENUE, NEW YORK NY 10022
David Richards	director	C/O BGC PARTNERS, INC., 499 PARK AVENUE, NEW YORK NY 10022
Martin Laguerre	director	C/O BGC PARTNERS, INC., 499 PARK AVENUE, NEW YORK NY 10022
Steven Bisgay	officer: Chief Financial Officer	545 WASHINGTON BLVD, JERSEY CITY NJ 07310
Cf Group Management Inc	director, 10 percent owner	135 EAST 57TH ST, NEW YORK NY 10022
Cantor Fitzgerald, L. P.	director, 10 percent owner	110 EAST 59TH STREET, NEW YORK NY 10022
Sean Galvin	officer: Chief Accounting Officer	545 WASHINGTON BOULEVARD, JERSEY CITY NJ 07310
William J Moran	director	135 EAST 57TH ST, NEW YORK NY 10022
Howard W Lutnick	director, 10 percent owner, officer: Chief Executive Officer
Steven R Mcmurray	officer: Chief Financial Officer	C/O BGC PARTNERS, INC., 499 PARK AVENUE, NEW YORK NY 10022