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Innovative Solutions Ecosystem (FRA:GPPB) Gross Margin % : 39.48% (As of Jun. 2023)


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What is Innovative Solutions Ecosystem Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Innovative Solutions Ecosystem's Gross Profit for the six months ended in Jun. 2023 was €1.85 Mil. Innovative Solutions Ecosystem's Revenue for the six months ended in Jun. 2023 was €4.69 Mil. Therefore, Innovative Solutions Ecosystem's Gross Margin % for the quarter that ended in Jun. 2023 was 39.48%.

Warning Sign:

Innovative Solutions Ecosystem SA gross margin has been in long-term decline. The average rate of decline per year is -6.5%.


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

FRA:GPPB' s Gross Margin % Range Over the Past 10 Years
Min: 31.01   Med: 67.35   Max: 74.86
Current: 31.01


During the past 13 years, the highest Gross Margin % of Innovative Solutions Ecosystem was 74.86%. The lowest was 31.01%. And the median was 67.35%.

FRA:GPPB's Gross Margin % is not ranked
in the Business Services industry.
Industry Median: 34.34 vs FRA:GPPB: 31.01

Innovative Solutions Ecosystem had a gross margin of 39.48% for the quarter that ended in Jun. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Innovative Solutions Ecosystem was -6.50% per year.


Innovative Solutions Ecosystem Gross Margin % Historical Data

The historical data trend for Innovative Solutions Ecosystem'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.

Innovative Solutions Ecosystem Gross Margin % Chart

Innovative Solutions Ecosystem Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Jun22
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 66.62 63.67 60.81 63.73 43.95

Innovative Solutions Ecosystem Semi-Annual Data
Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23
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 45.60 49.20 40.62 23.37 39.48

Competitive Comparison of Innovative Solutions Ecosystem's Gross Margin %

For the Specialty Business Services subindustry, Innovative Solutions Ecosystem'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.


Innovative Solutions Ecosystem's Gross Margin % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Innovative Solutions Ecosystem's Gross Margin % distribution charts can be found below:

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



Innovative Solutions Ecosystem Gross Margin % Calculation

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

Innovative Solutions Ecosystem's Gross Margin for the fiscal year that ended in Jun. 2022 is calculated as

Gross Margin % (A: Jun. 2022 )=Gross Profit (A: Jun. 2022 ) / Revenue (A: Jun. 2022 )
=2.9 / 6.631
=(Revenue - Cost of Goods Sold) / Revenue
=(6.631 - 3.717) / 6.631
=43.95 %

Innovative Solutions Ecosystem's Gross Margin for the quarter that ended in Jun. 2023 is calculated as


Gross Margin % (Q: Jun. 2023 )=Gross Profit (Q: Jun. 2023 ) / Revenue (Q: Jun. 2023 )
=1.9 / 4.689
=(Revenue - Cost of Goods Sold) / Revenue
=(4.689 - 2.838) / 4.689
=39.48 %

* 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.


Innovative Solutions Ecosystem  (FRA:GPPB) 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

Innovative Solutions Ecosystem had a gross margin of 39.48% for the quarter that ended in Jun. 2023 => 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.


Innovative Solutions Ecosystem Gross Margin % Related Terms

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Innovative Solutions Ecosystem (FRA:GPPB) Business Description

Traded in Other Exchanges
N/A
Address
c/ Salcedo 6,, Madrid, ESP, 28034
Innovative Solutions Ecosystem SA provides innovative solutions in the areas of data management and security, cryptography and related applications, and other technologies that facilitate data security and the communication of organizations with customers and stakeholders.

Innovative Solutions Ecosystem (FRA:GPPB) Headlines

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