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CG-Vak Software & Exports (BOM:531489) Gross Margin % : 19.77% (As of Dec. 2023)


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What is CG-Vak Software & Exports Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. CG-Vak Software & Exports's Gross Profit for the three months ended in Dec. 2023 was ₹37.4 Mil. CG-Vak Software & Exports's Revenue for the three months ended in Dec. 2023 was ₹189.4 Mil. Therefore, CG-Vak Software & Exports's Gross Margin % for the quarter that ended in Dec. 2023 was 19.77%.


The historical rank and industry rank for CG-Vak Software & Exports's Gross Margin % or its related term are showing as below:

BOM:531489' s Gross Margin % Range Over the Past 10 Years
Min: 28.98   Med: 33.71   Max: 44.85
Current: 30.89


During the past 13 years, the highest Gross Margin % of CG-Vak Software & Exports was 44.85%. The lowest was 28.98%. And the median was 33.71%.

BOM:531489's Gross Margin % is ranked worse than
64.01% of 2631 companies
in the Software industry
Industry Median: 41.74 vs BOM:531489: 30.89

CG-Vak Software & Exports had a gross margin of 19.77% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for CG-Vak Software & Exports was 7.00% per year.


CG-Vak Software & Exports Gross Margin % Historical Data

The historical data trend for CG-Vak Software & Exports'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.

CG-Vak Software & Exports Gross Margin % Chart

CG-Vak Software & Exports Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.54 28.98 32.84 41.96 38.99

CG-Vak Software & Exports Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 29.77 -178.42 27.28 24.34 19.77

Competitive Comparison of CG-Vak Software & Exports's Gross Margin %

For the Software - Application subindustry, CG-Vak Software & Exports'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.


CG-Vak Software & Exports's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, CG-Vak Software & Exports's Gross Margin % distribution charts can be found below:

* The bar in red indicates where CG-Vak Software & Exports's Gross Margin % falls into.



CG-Vak Software & Exports Gross Margin % Calculation

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

CG-Vak Software & Exports's Gross Margin for the fiscal year that ended in Mar. 2023 is calculated as

Gross Margin % (A: Mar. 2023 )=Gross Profit (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=214 / 548.933
=(Revenue - Cost of Goods Sold) / Revenue
=(548.933 - 334.887) / 548.933
=38.99 %

CG-Vak Software & Exports'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 )
=37.4 / 189.352
=(Revenue - Cost of Goods Sold) / Revenue
=(189.352 - 151.919) / 189.352
=19.77 %

* 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.


CG-Vak Software & Exports  (BOM:531489) 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

CG-Vak Software & Exports had a gross margin of 19.77% 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.


CG-Vak Software & Exports Gross Margin % Related Terms

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CG-Vak Software & Exports (BOM:531489) Business Description

Traded in Other Exchanges
N/A
Address
No. 171, Mettupalayam Road, Coimbatore, TN, IND, 641043
CG-Vak Software & Exports Ltd is an Indian company that is engaged in the provision of software products and services. The firm has operations in single segment being the software business. It offers services including product maintenance, product testing, product migration, and custom software services web site design, IT management and software development. Substantial revenue is generated from exports to North America. It offers services to North America and the rest of the world.

CG-Vak Software & Exports (BOM:531489) Headlines

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