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Gross Margin % is calculated as gross profit divided by its revenue. Consensus Cloud Solutions's Gross Profit for the three months ended in Sep. 2024 was $70.1 Mil. Consensus Cloud Solutions's Revenue for the three months ended in Sep. 2024 was $87.8 Mil. Therefore, Consensus Cloud Solutions's Gross Margin % for the quarter that ended in Sep. 2024 was 79.88%.
The historical rank and industry rank for Consensus Cloud Solutions's Gross Margin % or its related term are showing as below:
During the past 6 years, the highest Gross Margin % of Consensus Cloud Solutions was 84.50%. The lowest was 79.57%. And the median was 83.23%.
Consensus Cloud Solutions had a gross margin of 79.88% for the quarter that ended in Sep. 2024 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Consensus Cloud Solutions was 0.10% per year.
The historical data trend for Consensus Cloud Solutions'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.
Consensus Cloud Solutions Annual Data | |||||||||||||||
Trend | Dec18 | Dec19 | Dec20 | Dec21 | Dec22 | Dec23 | |||||||||
Gross Margin % | Get a 7-Day Free Trial | 84.50 | 83.88 | 83.55 | 82.91 | 81.16 |
Consensus Cloud Solutions Quarterly Data | ||||||||||||||||||||
Dec18 | Dec19 | 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 | 81.39 | 80.96 | 80.66 | 80.43 | 79.88 |
For the Software - Infrastructure subindustry, Consensus Cloud Solutions'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.
For the Software industry and Technology sector, Consensus Cloud Solutions's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Consensus Cloud Solutions's Gross Margin % falls into.
Gross Margin is the percentage of Gross Profit out of sales or Revenue.
Consensus Cloud Solutions'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 ) |
= | 294.2 | / | 362.562 | |
= | (Revenue - Cost of Goods Sold) | / | Revenue | |
= | (362.562 - 68.319) | / | 362.562 | |
= | 81.16 % |
Consensus Cloud Solutions'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 ) |
= | 70.1 | / | 87.753 | |
= | (Revenue - Cost of Goods Sold) | / | Revenue | |
= | (87.753 - 17.658) | / | 87.753 | |
= | 79.88 % |
* 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.
Consensus Cloud Solutions (NAS:CCSI) 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
Consensus Cloud Solutions had a gross margin of 79.88% 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.
Thank you for viewing the detailed overview of Consensus Cloud Solutions's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.
Jeffrey Alan Sullivan | officer: Chief Technology Officer | 700 S. FLOWER STREET, 15TH FLOOR, LOS ANGELES CA 90017 |
James C Malone | officer: Chief Financial Officer | 3525 PIEDMONT RD., NE, BUILDING 6, SUITE 700, ATLANTA GA 30305 |
Elaine Healy | director | |
Douglas Y Bech | director | C/O J2 GLOBAL COMMUNICATIONS INC, 6922 HOLLYWOOD BLVD/LEGAL DEPT - 5TH FL., LOS ANGELES CA 90028 |
Pamela Sutton-wallace | director | 197 VAN VORST ST, APT 1505, JERSEY CITY NJ 07302 |
Steve Emberland | officer: Vice President, Controller | 700 S. FLOWER STREET, 15TH FLOOR, LOS ANGELES CA 90017 |
John Nebergall | officer: Chief Operating Officer | 700 S. FLOWER STREET, 15TH FLOOR, LOS ANGELES CA 90017 |
Nathaniel Simmons | director | 700 S. FLOWER STREET, 15TH FLOOR, LOS ANGELES CA 90017 |
R Scott Turicchi | director, officer: CEO & CFO | C/O J2 GLOBAL COMMUNICATIONS, INC., 6922 HOLLYWOOD BLVD, 5TH FLOOR, LOS ANGELES CA 90028 |
Jeremy Rossen | director, officer: President | ZIFF DAVIS INC, 114 5TH AVE,14TH AND 15TH FLOOR, NEW YORK NY 10011 |
Stephen Ross | director | |
J2 Global, Inc. | 10 percent owner | 114 5TH AVENUE, NEW YORK NY 10011 |
Vithya Aubee | director, officer: VP & Secretary | 700 S. FLOWER STREET, 15TH FLOOR, LOS ANGELES CA 90017 |
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