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Electro Optic Systems Hldgs (Electro Optic Systems Hldgs) Gross Margin % : 48.02% (As of Dec. 2023)


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What is Electro Optic Systems Hldgs Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Electro Optic Systems Hldgs's Gross Profit for the six months ended in Dec. 2023 was $46.6 Mil. Electro Optic Systems Hldgs's Revenue for the six months ended in Dec. 2023 was $97.0 Mil. Therefore, Electro Optic Systems Hldgs's Gross Margin % for the quarter that ended in Dec. 2023 was 48.02%.

Warning Sign:

Electro Optic Systems Hldgs Ltd gross margin has been in long-term decline. The average rate of decline per year is -3.6%.


The historical rank and industry rank for Electro Optic Systems Hldgs's Gross Margin % or its related term are showing as below:

EOPSF' s Gross Margin % Range Over the Past 10 Years
Min: 33.73   Med: 46.49   Max: 57.69
Current: 43.59


During the past 13 years, the highest Gross Margin % of Electro Optic Systems Hldgs was 57.69%. The lowest was 33.73%. And the median was 46.49%.

EOPSF's Gross Margin % is ranked better than
77.44% of 297 companies
in the Aerospace & Defense industry
Industry Median: 26.03 vs EOPSF: 43.59

Electro Optic Systems Hldgs had a gross margin of 48.02% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Electro Optic Systems Hldgs was -3.60% per year.


Electro Optic Systems Hldgs Gross Margin % Historical Data

The historical data trend for Electro Optic Systems Hldgs'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.

Electro Optic Systems Hldgs Gross Margin % Chart

Electro Optic Systems Hldgs 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 45.52 35.63 47.46 33.73 43.59

Electro Optic Systems Hldgs Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 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 52.11 36.12 32.20 34.96 48.02

Competitive Comparison of Electro Optic Systems Hldgs's Gross Margin %

For the Aerospace & Defense subindustry, Electro Optic Systems Hldgs'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.


Electro Optic Systems Hldgs's Gross Margin % Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Electro Optic Systems Hldgs's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Electro Optic Systems Hldgs's Gross Margin % falls into.



Electro Optic Systems Hldgs Gross Margin % Calculation

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

Electro Optic Systems Hldgs'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 )
=64 / 146.756
=(Revenue - Cost of Goods Sold) / Revenue
=(146.756 - 82.781) / 146.756
=43.59 %

Electro Optic Systems Hldgs'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 )
=46.6 / 97.025
=(Revenue - Cost of Goods Sold) / Revenue
=(97.025 - 50.436) / 97.025
=48.02 %

* 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.


Electro Optic Systems Hldgs  (OTCPK:EOPSF) 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

Electro Optic Systems Hldgs had a gross margin of 48.02% 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.


Electro Optic Systems Hldgs Gross Margin % Related Terms

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Electro Optic Systems Hldgs (Electro Optic Systems Hldgs) Business Description

Traded in Other Exchanges
Address
18 Wormald Street, Symonston, Canberra, ACT, AUS, 2609
Electro Optic Systems Hldgs Ltd is an Australian technology company. It develops and produces electro-optic technologies for the aerospace market. The group's reportable segments are, Defence and Space. It generates maximum revenue from the Defence segment. The Defence segment develops, manufactures and markets advanced fire control, surveillance, and weapon systems to approved military customers. Space Systems segment includes a range of ground products available to support the Australian and international space markets. Geographically, it derives a majority of its revenue from North America.

Electro Optic Systems Hldgs (Electro Optic Systems Hldgs) Headlines