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Ansys (ANSS) Gross Margin % : 88.52% (As of Sep. 2024)


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What is Ansys Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Ansys's Gross Profit for the three months ended in Sep. 2024 was $533 Mil. Ansys's Revenue for the three months ended in Sep. 2024 was $602 Mil. Therefore, Ansys's Gross Margin % for the quarter that ended in Sep. 2024 was 88.52%.


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

ANSS' s Gross Margin % Range Over the Past 10 Years
Min: 83.61   Med: 86.54   Max: 89.03
Current: 88.77


During the past 13 years, the highest Gross Margin % of Ansys was 89.03%. The lowest was 83.61%. And the median was 86.54%.

ANSS's Gross Margin % is ranked better than
94.46% of 2618 companies
in the Software industry
Industry Median: 41.435 vs ANSS: 88.77

Ansys had a gross margin of 88.52% for the quarter that ended in Sep. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Ansys was -0.10% per year.


Ansys Gross Margin % Historical Data

The historical data trend for Ansys'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.

Ansys Gross Margin % Chart

Ansys 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 89.03 86.60 86.47 87.87 88.05

Ansys Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 85.78 91.30 85.28 88.33 88.52

Competitive Comparison of Ansys's Gross Margin %

For the Software - Application subindustry, Ansys'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.


Ansys's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Ansys's Gross Margin % distribution charts can be found below:

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



Ansys Gross Margin % Calculation

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

Ansys'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 )
=1998.7 / 2269.949
=(Revenue - Cost of Goods Sold) / Revenue
=(2269.949 - 271.298) / 2269.949
=88.05 %

Ansys's Gross Margin for the quarter that ended in Sep. 2024 is calculated as


Gross Margin % (Q: Sep. 2024 )=Gross Profit (Q: Sep. 2024 ) / Revenue (Q: Sep. 2024 )
=532.8 / 601.892
=(Revenue - Cost of Goods Sold) / Revenue
=(601.892 - 69.109) / 601.892
=88.52 %

* 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.


Ansys  (NAS:ANSS) 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

Ansys had a gross margin of 88.52% for the quarter that ended in Sep. 2024 => 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.


Ansys Gross Margin % Related Terms

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


Ansys Business Description

Traded in Other Exchanges
Address
2600 ANSYS Drive, Canonsburg, PA, USA, 15317
Ansys is an engineering software company that provides simulation capabilities for structural, fluids, semiconductor power, embedded software, optical, and electromagnetic properties. Ansys employs over 4,000 people and serves over 50,000 customers globally, including those in aerospace defense and automotive.
Executives
Glenda Dorchak director C/O MELLANOX TECHNOLOGIES, INC., 350 OAKMEAD PARKWAY, SUITE 100, SUNNYVALE CA 94085
Ajei Gopal director CA, INC., ONE CA PLAZA, ISLANDIA NY 11749
Janet Lee officer: VP, General Counsel 2600 ANSYS DRIVE, CANONSBURG PA 15317
Barbara Vaughn Scherer director 337 ENCINAL ST, SANTA CRUZ CA 95060
Shane Emswiler officer: VP and General Manager 225 WEST STATION SQUARE DRIVE, STE 200, PITTSBURGH PA 15219
Walter Hearn officer: SVP, World Sales & Cust. Exc. 2600 ANSYS DRIVE, CANONSBURG PA 15317
Claire Bramley director HP, 1501 PAGE MILL ROAD, PALO ALTO CA 94304
Richard S. Mahoney officer: VP, WORLDWIDE SALES & SUPPORT 2600 ANSYS DRIVE, CANONSBURG PA 15317
Maria T Shields officer: CFO 2600 ANSYS DRIVE, CANONSBURG PA 15317
Anil Chakravarthy director C/O INFORMATICA CORPORATION, 2100 SEAPORT BOULEVARD, REDWOOD CITY CA 94063
Alec D. Gallimore director 2600 ANSYS DRIVE, CANONSBURG PA 15317
Jim Frankola director C/O CLOUDERA INC, 1001 PAGE MILL ROAD, BLDG. 3, PALO ALTO CA 94089
Matthew C. Zack officer: VP, Marketing/Corp Development 2600 ANSYS DRIVE, CANONSBURG PA 15317
Nicole Anasenes director 2600 ANSYS DRIVE, CANONSBURG PA 15317
Robert Calderoni director 851 WEST CYPRESS CREEK ROAD, FORT LAUDERDALE FL 33309