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Amadeus IT Group (CHIX:AMSE) Gross Margin % : 38.97% (As of Sep. 2024)


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What is Amadeus IT Group Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Amadeus IT Group's Gross Profit for the three months ended in Sep. 2024 was €603 Mil. Amadeus IT Group's Revenue for the three months ended in Sep. 2024 was €1,548 Mil. Therefore, Amadeus IT Group's Gross Margin % for the quarter that ended in Sep. 2024 was 38.97%.


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

CHIX:AMSe' s Gross Margin % Range Over the Past 10 Years
Min: 13.79   Med: 45   Max: 47.72
Current: 46.49


During the past 13 years, the highest Gross Margin % of Amadeus IT Group was 47.72%. The lowest was 13.79%. And the median was 45.00%.

CHIX:AMSe's Gross Margin % is ranked better than
56.11% of 2618 companies
in the Software industry
Industry Median: 41.435 vs CHIX:AMSe: 46.49

Amadeus IT Group had a gross margin of 38.97% for the quarter that ended in Sep. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Amadeus IT Group was 0.40% per year.


Amadeus IT Group Gross Margin % Historical Data

The historical data trend for Amadeus IT Group'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.

Amadeus IT Group Gross Margin % Chart

Amadeus IT Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 46.63 13.79 31.27 41.73 44.32

Amadeus IT Group Quarterly Data
Dec19 Mar20 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 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 39.28 60.35 44.65 43.65 38.97

Competitive Comparison of Amadeus IT Group's Gross Margin %

For the Information Technology Services subindustry, Amadeus IT Group'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.


Amadeus IT Group's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Amadeus IT Group's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Amadeus IT Group's Gross Margin % falls into.



Amadeus IT Group Gross Margin % Calculation

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

Amadeus IT Group'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 )
=2411.4 / 5441.2
=(Revenue - Cost of Goods Sold) / Revenue
=(5441.2 - 3029.8) / 5441.2
=44.32 %

Amadeus IT Group'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 )
=603.3 / 1548
=(Revenue - Cost of Goods Sold) / Revenue
=(1548 - 944.7) / 1548
=38.97 %

* 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.


Amadeus IT Group  (CHIX:AMSe) 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

Amadeus IT Group had a gross margin of 38.97% for the quarter that ended in Sep. 2024 => Competition eroding margins


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.


Amadeus IT Group Gross Margin % Related Terms

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Amadeus IT Group Business Description

Address
Salvador de Madariaga, 1, Madrid, ESP, 28027
Founded in 1987 by four major European airline carriers (Air France, Lufthansa, Iberia, and SAS), Amadeus became the world's second global distribution system operator, or GDS, after Sabre's development in the 1960s and 1970s. Today, among the top three GDS operators that control nearly 100% of industry revenue, Amadeus' 40%-plus market share ranks as the largest. Overall, Amadeus' GDS segment represented 56% of total prepandemic sales in 2019. Moreover, the company has an expanding IT solutions division (44% of 2019 revenue) that addresses the airline, airport, rail, hotel, and travel agency markets. Transaction fees, which are tied to volume and not price, account for the bulk of consolidated sales and profits.

Amadeus IT Group Headlines

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