Gross Margin % is calculated as gross profit divided by its revenue. CDI's Gross Profit for the
three
months ended in Jun. 2017 was $32.3 Mil. CDI's Revenue for the
three
months ended in Jun. 2017 was $169.5 Mil. Therefore, CDI's Gross Margin % for the quarter that ended in Jun. 2017 was 19.05%.
The historical rank and industry rank for CDI's Gross Margin % or its related term are showing as below:
CDI's Gross Margin % is not ranked *
in the Business Services industry.
Industry Median: 34.505 * Ranked among companies with meaningful Gross Margin % only.
CDI had a gross margin of 19.05% for the quarter that ended in Jun. 2017 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for CDI was 0.00% per year.
CDI Gross Margin % Historical Data
The historical data trend for CDI'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.
For the Staffing & Employment Services subindustry, CDI'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.
CDI's Gross Margin % Distribution in the Business Services Industry
For the Business Services industry and Industrials sector, CDI's Gross Margin % distribution charts can be found below:
* The bar in red indicates where CDI'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.
CDI (NYSE:CDI) 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
CDI had a gross margin of 19.05% for the quarter that ended in Jun. 2017 => 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.
CDI Gross Margin % Related Terms
Thank you for viewing the detailed overview of CDI's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.
CDI Corp. is a staffing firm that provides temporary and permanent workers mainly in the engineering, IT servicing, and construction markets. At the end of 2007 approximately 20% of the firm's revenue was derived from the U.K. construction market and had 1,400 worldwide employees with 11,000 temporary workers on assignment. Based in Philadelphia, Pa., CDI traces its roots back to 1950.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
CDI has been successfully added to your 