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Prime Focus (BOM:532748) Gross Margin % : 90.96% (As of Dec. 2023)


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What is Prime Focus Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Prime Focus's Gross Profit for the three months ended in Dec. 2023 was ₹7,629 Mil. Prime Focus's Revenue for the three months ended in Dec. 2023 was ₹8,387 Mil. Therefore, Prime Focus's Gross Margin % for the quarter that ended in Dec. 2023 was 90.96%.


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

BOM:532748' s Gross Margin % Range Over the Past 10 Years
Min: 91.53   Med: 94.32   Max: 95.48
Current: 91.53


During the past 13 years, the highest Gross Margin % of Prime Focus was 95.48%. The lowest was 91.53%. And the median was 94.32%.

BOM:532748's Gross Margin % is ranked better than
93.89% of 965 companies
in the Media - Diversified industry
Industry Median: 38.36 vs BOM:532748: 91.53

Prime Focus had a gross margin of 90.96% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Prime Focus was -0.20% per year.


Prime Focus Gross Margin % Historical Data

The historical data trend for Prime Focus'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.

Prime Focus Gross Margin % Chart

Prime Focus Annual Data
Trend Jun14 Jun15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 94.36 93.82 95.48 93.85 92.87

Prime Focus 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 93.10 94.08 91.25 88.78 90.96

Competitive Comparison of Prime Focus's Gross Margin %

For the Entertainment subindustry, Prime Focus'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.


Prime Focus's Gross Margin % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Prime Focus's Gross Margin % distribution charts can be found below:

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



Prime Focus Gross Margin % Calculation

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

Prime Focus'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 )
=42983.4 / 46281.071
=(Revenue - Cost of Goods Sold) / Revenue
=(46281.071 - 3297.706) / 46281.071
=92.87 %

Prime Focus'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 )
=7628.7 / 8387.123
=(Revenue - Cost of Goods Sold) / Revenue
=(8387.123 - 758.39) / 8387.123
=90.96 %

* 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.


Prime Focus  (BOM:532748) 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

Prime Focus had a gross margin of 90.96% for the quarter that ended in Dec. 2023 => 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.


Prime Focus Gross Margin % Related Terms

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Prime Focus (BOM:532748) Business Description

Traded in Other Exchanges
Address
Prime Focus House, Linking Road, Opposite Citi Bank, Khar (West), Mumbai, MH, IND, 400 052
Prime Focus Ltd is an Indian integrated media service provider. The company is engaged in providing post-production services which include digital intermediate, visual effects, stereo 3D conversion, and animation technology products and services. It also provides stereo conversion, color grading, sound and picture post, renting of camera equipment, visual effects services, media enterprise resource planning and suite, and cloud-enabled media services. Geographically, it derives a majority of revenue from Canada.

Prime Focus (BOM:532748) Headlines

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