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Link Administration Holdings (ASX:LNK) Gross Margin % : 0.00% (As of Dec. 2023)


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What is Link Administration Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Link Administration Holdings's Gross Profit for the six months ended in Dec. 2023 was A$523.7 Mil. Link Administration Holdings's Revenue for the six months ended in Dec. 2023 was A$523.7 Mil. Therefore, Link Administration Holdings's Gross Margin % for the quarter that ended in Dec. 2023 was 0.00%. If there's no value for Cost of Goods Sold, then Gross Margin % is not calculated.


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


ASX:LNK's Gross Margin % is not ranked *
in the Capital Markets industry.
Industry Median: 48.91
* Ranked among companies with meaningful Gross Margin % only.

Link Administration Holdings had a gross margin of N/A% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Link Administration Holdings was 0.00% per year.


Link Administration Holdings Gross Margin % Historical Data

The historical data trend for Link Administration Holdings'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.

Link Administration Holdings Gross Margin % Chart

Link Administration Holdings Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Gross Margin %
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Link Administration Holdings Semi-Annual Data
Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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Competitive Comparison of Link Administration Holdings's Gross Margin %

For the Capital Markets subindustry, Link Administration Holdings'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.


Link Administration Holdings's Gross Margin % Distribution in the Capital Markets Industry

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

* The bar in red indicates where Link Administration Holdings's Gross Margin % falls into.



Link Administration Holdings Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue. (Note that if there's no value for Cost of Goods Sold, then Gross Margin % is not calculated.)

Link Administration Holdings's Gross Margin for the fiscal year that ended in Jun. 2023 is calculated as

Gross Margin % (A: Jun. 2023 )=Gross Profit (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=955.6 / 955.629
=(Revenue - Cost of Goods Sold) / Revenue
=(955.629 - 0) / 955.629
=N/A %

Link Administration Holdings'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 )
=523.7 / 523.747
=(Revenue - Cost of Goods Sold) / Revenue
=(523.747 - 0) / 523.747
=N/A %

* 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.


Link Administration Holdings  (ASX:LNK) 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

Link Administration Holdings had a gross margin of N/A% 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.


Link Administration Holdings Gross Margin % Related Terms

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Link Administration Holdings (ASX:LNK) Business Description

Traded in Other Exchanges
Address
680 George Street, Level 12, Sydney, NSW, AUS, 2000
Link derives its revenue primarily from providing administration services to the financial services sector in Australia, and the share registry and investment fund sectors in the U.K. The company is the largest provider of superannuation administration services and the second-largest provider of share registry services in Australia. Link's clients are usually contracted for between two and five years. The customers are relatively sticky, resulting in a high recurring revenue. The capital-light business model means cash flow is relatively strong.

Link Administration Holdings (ASX:LNK) Headlines

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