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Digital Media Solutions (Digital Media Solutions) Gross Margin % : 20.23% (As of Mar. 2024)


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What is Digital Media Solutions Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Digital Media Solutions's Gross Profit for the three months ended in Mar. 2024 was $14.3 Mil. Digital Media Solutions's Revenue for the three months ended in Mar. 2024 was $70.7 Mil. Therefore, Digital Media Solutions's Gross Margin % for the quarter that ended in Mar. 2024 was 20.23%.


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

DMSL' s Gross Margin % Range Over the Past 10 Years
Min: 23.76   Med: 29.19   Max: 32.2
Current: 23.76


During the past 7 years, the highest Gross Margin % of Digital Media Solutions was 32.20%. The lowest was 23.76%. And the median was 29.19%.

DMSL's Gross Margin % is ranked worse than
73.68% of 965 companies
in the Media - Diversified industry
Industry Median: 38.36 vs DMSL: 23.76

Digital Media Solutions had a gross margin of 20.23% for the quarter that ended in Mar. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Digital Media Solutions was 0.00% per year.


Digital Media Solutions Gross Margin % Historical Data

The historical data trend for Digital Media 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.

* Premium members only.

Digital Media Solutions Gross Margin % Chart

Digital Media Solutions Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial 32.20 29.48 29.19 26.42 24.75

Digital Media Solutions Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 24.66 23.27 23.05 27.77 20.23

Competitive Comparison of Digital Media Solutions's Gross Margin %

For the Advertising Agencies subindustry, Digital Media 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.


Digital Media Solutions's Gross Margin % Distribution in the Media - Diversified Industry

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

* The bar in red indicates where Digital Media Solutions's Gross Margin % falls into.



Digital Media Solutions Gross Margin % Calculation

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

Digital Media 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 )
=82.9 / 334.949
=(Revenue - Cost of Goods Sold) / Revenue
=(334.949 - 252.05) / 334.949
=24.75 %

Digital Media Solutions's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=14.3 / 70.709
=(Revenue - Cost of Goods Sold) / Revenue
=(70.709 - 56.407) / 70.709
=20.23 %

* 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.


Digital Media Solutions  (OTCPK:DMSL) 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

Digital Media Solutions had a gross margin of 20.23% for the quarter that ended in Mar. 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.


Digital Media Solutions Gross Margin % Related Terms

Thank you for viewing the detailed overview of Digital Media Solutions's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Digital Media Solutions (Digital Media Solutions) Business Description

Traded in Other Exchanges
N/A
Address
4800 140th Avenue North, Suite 101, Clearwater, FL, USA, 33762
Digital Media Solutions Inc is a provider of technology enabled digital performance advertising solutions connecting consumers and advertisers. The activities are divided into three segments namely Brand Direct, Marketplace and Technology Solutions.
Executives
Elizabeth A. Lapuma director 520 LAKE COOK ROAD, SUITE 315, DEERFIELD IL 60015
Neil Nguyen director 750 W. JOHN CARPENTER FREEWAY, 7TH FLOOR, IRVING TX 75039
Scott N Flanders director PLAYBOY ENT., INC. - H. SHAPIRO, 680 N LAKE SHORE DRIVE, CHICAGO IL 60611
Vanessa Guzman-clark officer: Interim CFO 1831 SOUTHWEST 6TH AVENUE, CAPE CORAL FL 33991
Jessica Jones officer: EVP, Human Resources 4800 140TH AVENUE N., SUITE 101, CLEARWATER FL 33762
Maurissa Bell director C/O CLAIRVEST GROUP INC., 22 ST. CLAIR AVENUE EAST, SUITE 1700, TORONTO A6 M4T 2S3
Vasundara Srenivas officer: Chief Financial Officer 4800 140TH AVENUE N., SUITE 101, CLEARWATER FL 33762
Richard Rodick officer: Chief Financial Officer C/O UTI, SERVICES, INC., 100 OCEANGATE, SUITE 1500, LONG BEACH CA 90802
Anthony Saldana officer: General Counsel, EVP Legal 4800 140TH AVENUE N., SUITE 101, CLEARWATER FL 33762
Prism Data, Llc 10 percent owner 4800 140TH AVENUE N., SUITE 101, CLEARWATER FL 33762
Capital Llp Lion 10 percent owner 21 GROSVENOR PLACE, LONDON X0 SW1X 7HF
Lion Capital Iv Gp Ltd 10 percent owner 21 GROSVENOR PLACE, LONDON X0 SW1X7HF
Lion Capital (guernsey) Bridgeco Ltd 10 percent owner TRAFALGAR COURT, LES BANQUES, ST PETER PORT Y7 000000
Lyndon Lea director, officer: See Remarks 21 GROSVENOR PLACE, LONDON X0 SW1X 7HF
Fernando Borghese director, officer: Chief Operating Officer 4800 140TH AVENUE N., SUITE 101, CLEARWATER FL 33762