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Netgear (Netgear) Gross Profit

: $249.3 Mil (TTM As of Dec. 2023)
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Netgear's gross profit for the three months ended in Dec. 2023 was $65.6 Mil. Netgear's gross profit for the trailing twelve months (TTM) ended in Dec. 2023 was $249.3 Mil.

Gross Margin % is calculated as gross profit divided by its revenue. Netgear's gross profit for the three months ended in Dec. 2023 was $65.6 Mil. Netgear's Revenue for the three months ended in Dec. 2023 was $188.7 Mil. Therefore, Netgear's Gross Margin % for the quarter that ended in Dec. 2023 was 34.79%.

Netgear had a gross margin of 34.79% for the quarter that ended in Dec. 2023 => Competition eroding margins

During the past 13 years, the highest Gross Margin % of Netgear was 33.65%. The lowest was 26.87%. And the median was 29.63%.


Netgear Gross Profit Historical Data

The historical data trend for Netgear's Gross Profit 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.

Netgear Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Profit
Get a 7-Day Free Trial Premium Member Only Premium Member Only 294.23 372.15 365.84 250.55 249.25

Netgear Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Gross Profit 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 61.70 60.38 54.30 68.93 65.64

Competitive Comparison

For the Communication Equipment subindustry, Netgear's Gross Profit, along with its competitors' market caps and Gross Profit 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.


Netgear Gross Profit Distribution

For the Hardware industry and Technology sector, Netgear's Gross Profit distribution charts can be found below:

* The bar in red indicates where Netgear's Gross Profit falls into.



Netgear Gross Profit Calculation

Gross Profit is the different between the sale prices and the cost of buying or producing the goods.

Netgear's Gross Profit for the fiscal year that ended in Dec. 2023 is calculated as

Gross Profit (A: Dec. 2023 )=Revenue - Cost of Goods Sold
=740.84 - 491.588
=249.3

Netgear's Gross Profit for the quarter that ended in Dec. 2023 is calculated as

Gross Profit (Q: Dec. 2023 )=Revenue - Cost of Goods Sold
=188.674 - 123.038
=65.6

Gross Profit for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $249.3 Mil.

Gross Profit is the numerator in the calculation of Gross Margin.

Netgear'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 )
=(Revenue - Cost of Goods Sold) / Revenue
=65.6 / 188.674
=34.79 %

* 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.


Netgear  (NAS:NTGR) Gross Profit 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

Netgear had a gross margin of 34.79% for the quarter that ended in Dec. 2023 => Competition eroding margins


Netgear Gross Profit Related Terms

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Netgear (Netgear) Business Description

Traded in Other Exchanges
Address
350 East Plumeria Drive, San Jose, CA, USA, 95134
Netgear Inc is a provider of networking solutions. The reportable segments of the company are connected home, and Small and Medium Businesses (SMB). The Connected Home segment focuses on consumers and consists of high-performance, dependable, and easy-to-use 4G/5G mobile, Wi-Fi internet networking solutions and smart devices such as Orbi Voice smart speakers and Meural digital canvas; and SMB focused on small and medium-sized businesses and consists of business networking, storage, wireless LAN and security solutions that bring enterprise-class functionality to small and medium-sized businesses at an affordable price.
Executives
Andrew Wonki Kim officer: SVP, Legal and Corp. Dev. 892 RUSSET DR., SUNNYVALE CA 94087
Martin Westhead officer: CTO 350 E. PLUMERIA DR., SAN JOSE CA 95134
Heidi Cormack officer: SVP, Marketing 350 E. PLUMERIA DR., SAN JOSE CA 95134
Vikram Mehta officer: SVP, CBU 350 E. PLUMERIA DR., SAN JOSE CA 95134
Michael A Werdann officer: SVP of Worldwide Sales 4500 GREAT AMERICAN PARKWAY, C/O NETGEAR INC, SANTA CLARA CA 95054
Laura Durr director C/O XPERI HOLDING CORPORATION, 3025 ORCHARD PARKWAY, SAN JOSE CA 95134
Mark G Merrill officer: Chief Technology Officer
Patrick Cs Lo director, officer: Chairman and CEO
Shravan Goli director 1040 AVENUE OF THE AMERICAS, NEW YORK NY 10016
David John Henry officer: SVP, Home Networking 350 E. PLUMERIA DR., SAN JOSE CA 95134
Thomas H Waechter director
Michael F Falcon officer: SVP, Operations
Tamesa Rogers officer: SVP, Human Resources 350 EAST PLUMERIA DR, SAN JOSE CA 95134
Murray Bryan officer: CFO 350 E. PLUMERIA DR., SAN JOSE CA 95134
Gregory J Rossman director 500 NYALA FARM RD, WESTPORT CT 06880