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Next 15 Group (FRA:8LS) Gross Margin % : 78.77% (As of Jul. 2024)


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What is Next 15 Group Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Next 15 Group's Gross Profit for the six months ended in Jul. 2024 was €340.3 Mil. Next 15 Group's Revenue for the six months ended in Jul. 2024 was €432.0 Mil. Therefore, Next 15 Group's Gross Margin % for the quarter that ended in Jul. 2024 was 78.77%.

Warning Sign:

Next 15 Group PLC gross margin has been in long-term decline. The average rate of decline per year is -1.3%.


The historical rank and industry rank for Next 15 Group's Gross Margin % or its related term are showing as below:

FRA:8LS' s Gross Margin % Range Over the Past 10 Years
Min: 77.03   Med: 82.26   Max: 84.14
Current: 78.79


During the past 13 years, the highest Gross Margin % of Next 15 Group was 84.14%. The lowest was 77.03%. And the median was 82.26%.

FRA:8LS's Gross Margin % is ranked better than
87.79% of 958 companies
in the Media - Diversified industry
Industry Median: 38.685 vs FRA:8LS: 78.79

Next 15 Group had a gross margin of 78.77% for the quarter that ended in Jul. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Next 15 Group was -1.30% per year.


Next 15 Group Gross Margin % Historical Data

The historical data trend for Next 15 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.

Next 15 Group Gross Margin % Chart

Next 15 Group Annual Data
Trend Jul13 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 82.63 82.46 77.03 78.25 78.65

Next 15 Group Semi-Annual Data
Jan14 Jul15 Jan16 Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24 Jul24
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 80.30 76.41 78.49 78.82 78.77

Competitive Comparison of Next 15 Group's Gross Margin %

For the Advertising Agencies subindustry, Next 15 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.


Next 15 Group's Gross Margin % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Next 15 Group's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Next 15 Group's Gross Margin % falls into.



Next 15 Group Gross Margin % Calculation

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

Next 15 Group's Gross Margin for the fiscal year that ended in Jan. 2024 is calculated as

Gross Margin % (A: Jan. 2024 )=Gross Profit (A: Jan. 2024 ) / Revenue (A: Jan. 2024 )
=674 / 856.963
=(Revenue - Cost of Goods Sold) / Revenue
=(856.963 - 182.94) / 856.963
=78.65 %

Next 15 Group's Gross Margin for the quarter that ended in Jul. 2024 is calculated as


Gross Margin % (Q: Jul. 2024 )=Gross Profit (Q: Jul. 2024 ) / Revenue (Q: Jul. 2024 )
=340.3 / 432.023
=(Revenue - Cost of Goods Sold) / Revenue
=(432.023 - 91.722) / 432.023
=78.77 %

* 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.


Next 15 Group  (FRA:8LS) 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

Next 15 Group had a gross margin of 78.77% for the quarter that ended in Jul. 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.


Next 15 Group Gross Margin % Related Terms

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Next 15 Group Business Description

Traded in Other Exchanges
Address
60 Great Portland Street, London, GBR, W1W 7RT
Next 15 Group PLC is a digital marketing company in the United Kingdom. The company segments include Customer Engage; Customer Delivery; Customer Insight and Business Transformation. It generates maximum revenue from the Customer Engage segment.

Next 15 Group Headlines

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