Clever Culture SystemsASX:CC5 -5.26% Gross Margin % is 82.17% as of Dec. 2025, which is 3% above its 10-year median of 80.02. The stock has 4 warning signs investors should review. Among 2,685 Software companies, Clever Culture Systems ranks better than 86.07% on this metric.
ASX:CC5's Gross Margin % is ranked better than 86.07% of 2685
companies
in the Software industry
Industry Median: 40.45
vs ASX:CC5: 76.92
Clever Culture Systems had a gross margin of 82.17% for the quarter that ended in Dec. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Clever Culture Systems was 0.00% per year.
Clever Culture Systems (ASX:CC5) 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
Clever Culture Systems had a gross margin of 82.17% for the quarter that ended in Dec. 2025 => 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.
Clever Culture Systems Gross Margin % Related Terms
Clever Culture Systems Gross Margin % Historical Data
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The historical data trend for Clever Culture Systems'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.
ASX:CC5 vs MSFT, ORCL, PLTR: Gross Margin % Comparison
For the Software - Infrastructure subindustry, Clever Culture Systems'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.
Clever Culture Systems Gross Margin % vs Software Industry
For the Software industry and Technology sector, Clever Culture Systems's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Clever Culture Systems's Gross Margin % falls into.
* 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.
Clever Culture Systems (ASX:CC5) has a Gross Margin % of 82.17% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Clever Culture Systems and its competitors. This is near median its historical median of 80.02. Over the past decade, Clever Culture Systems' Gross Margin % has ranged from 62.31 to 91.30. According to the industry distribution chart, Clever Culture Systems ranks #374 out of 2685 companies in the Software industry, placing it in the top 13.9%.
Is Clever Culture Systems' Gross Margin % too high?
Clever Culture Systems' current Gross Margin % of 82.17% is near median its 10-year median of 80.02. Over the past 10 years, this metric has ranged from a low of 62.31 to a high of 91.30. The Software industry median Gross Margin % is 40.45. Clever Culture Systems' value of 82.17% is 103.1% above this industry median. Based on the distribution chart, Clever Culture Systems ranks #374 out of 2685 companies in the Software industry, which is in the top quartile — a strong position relative to peers.
How does Clever Culture Systems' Gross Margin % compare to MSFT and ORCL?
According to the Software industry distribution chart, Clever Culture Systems ranks #374 out of 2685 companies for Gross Margin %. This places Clever Culture Systems in the top 14% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.45. Clever Culture Systems' value of 82.17% is 103.1% above this benchmark. Historically, Clever Culture Systems' own Gross Margin % has ranged from 62.31 to 91.30 over the past decade. While the company's 10-year median is 80.02 vs. the industry median of 40.45, Clever Culture Systems has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,685 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Clever Culture Systems's current Gross Margin % of 82.17% is 103.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Clever Culture Systems and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Clever Culture Systems's current Gross Margin % is 82.17%, which is near median its own 10-year median of 80.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Clever Culture Systems stock overvalued right now?
Based on GuruFocus' analysis, Clever Culture Systems (ASX:CC5) is currently considered Significantly Overvalued. The stock's GF Value™ is A$0.01, compared to a current price of A$0.02 — trading 80% above its estimated fair value. The current Gross Margin % is 82.17%, which is near median its 10-year median of 80.02 and 103.1% above the Software industry median of 40.45. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Clever Culture Systems (ASX:CC5), the current Gross Margin % is 82.17% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Clever Culture Systems Ltd provides intelligent automation solutions to microbiology laboratories. The Company has developed a technology, the Automated Plate Assessment System (APAS Independence), using artificial intelligence and machine learning software to automate the imaging, analysis, and interpretation of microbiology culture plates. The technology remains the only U.S. FDA-cleared artificial intelligence technology for automated culture plate reading. The Group operates in one business segment, researching, developing, and commercialising innovative technologies. Its geographic areas are Australia, the UK, Sweden, the Netherlands, and Others. It generates the majority revenue from the Australia region.
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