Lemonsoft Oyj (FRA:M36) Gross Margin %: 40.20% (As of Mar. 2026) — 24% Below Median


FRA:M36 Lemonsoft Oyj FRA:M36
84 GF Score
Price €4.76
GF Value €6.50
! 4 Warning Signs
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What is Lemonsoft Oyj Gross Margin %?

Lemonsoft Oyj FRA:M36 -1.24% 84 Gross Margin % is 40.20% as of Mar. 2026, which is 24% below its 10-year median of 52.64. GuruFocus rates FRA:M36 with a GF Score™ of 84/100 and a GF Value™ of €6.50. The stock has 4 warning signs investors should review. Among 2,680 Software companies, Lemonsoft Oyj ranks worse than 50.67% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Lemonsoft Oyj's Gross Profit for the three months ended in Mar. 2026 was €3.02 Mil. Lemonsoft Oyj's Revenue for the three months ended in Mar. 2026 was €7.50 Mil. Therefore, Lemonsoft Oyj's Gross Margin % for the quarter that ended in Mar. 2026 was 40.20%.

Warning Sign:

Lemonsoft Oyj 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 Lemonsoft Oyj's Gross Margin % or its related term are showing as below:

FRA:M36' s Gross Margin % Range Over the Past 10 Years
Min: 40.06   Med: 52.64   Max: 58.12
Current: 40.06


During the past 8 years, the highest Gross Margin % of Lemonsoft Oyj was 58.12%. The lowest was 40.06%. And the median was 52.64%.

FRA:M36's Gross Margin % is ranked worse than
50.67% of 2680 companies
in the Software industry
Industry Median: 40.445 vs FRA:M36: 40.06

Lemonsoft Oyj had a gross margin of 40.20% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Lemonsoft Oyj was -3.60% per year.


Lemonsoft Oyj  (FRA:M36) 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

Lemonsoft Oyj had a gross margin of 40.20% for the quarter that ended in Mar. 2026 => 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.


Lemonsoft Oyj Gross Margin % Related Terms


Lemonsoft Oyj Gross Margin % Historical Data

* Premium members only.

The historical data trend for Lemonsoft Oyj'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.

Lemonsoft Oyj Gross Margin % Chart

Lemonsoft Oyj Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial 55.08 50.20 48.53 45.95 47.86

Lemonsoft Oyj Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 38.00 36.38 47.86 36.15 40.20

FRA:M36 vs UBER, SHOP, CRM: Gross Margin % Comparison

For the Software - Application subindustry, Lemonsoft Oyj'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.


Lemonsoft Oyj Gross Margin % vs Software Industry

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

* The bar in red indicates where Lemonsoft Oyj's Gross Margin % falls into.


FRA:M36
84GF Score
Lemonsoft Oyj FRA:M36
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Lemonsoft Oyj Gross Margin % Calculation

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

Lemonsoft Oyj's Gross Margin for the fiscal year that ended in Dec. 2025 is calculated as

Gross Margin % (A: Dec. 2025 )=Gross Profit (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=14.1 / 29.454
=(Revenue - Cost of Goods Sold) / Revenue
=(29.454 - 15.356) / 29.454
=47.86 %

Lemonsoft Oyj's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=3 / 7.503
=(Revenue - Cost of Goods Sold) / Revenue
=(7.503 - 4.487) / 7.503
=40.20 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 40.20% mean?
Lemonsoft Oyj (FRA:M36) has a Gross Margin % of 40.20% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Lemonsoft Oyj and its competitors. This is 24% below median its historical median of 52.64. Over the past decade, Lemonsoft Oyj's Gross Margin % has ranged from 40.06 to 58.12. According to the industry distribution chart, Lemonsoft Oyj ranks #1358 out of 2680 companies in the Software industry, placing it in the top 50.7%.
Is Lemonsoft Oyj's Gross Margin % too high?
Lemonsoft Oyj's current Gross Margin % of 40.20% is 24% below median its 10-year median of 52.64. Over the past 10 years, this metric has ranged from a low of 40.06 to a high of 58.12. The Software industry median Gross Margin % is 40.45. Lemonsoft Oyj's value of 40.20% is 0.6% below this industry median. Based on the distribution chart, Lemonsoft Oyj ranks #1358 out of 2680 companies in the Software industry, which is below the industry midpoint. Overall, Lemonsoft Oyj has a GF Score™ of 84/100, reflecting its overall financial health beyond just this single metric.
How does Lemonsoft Oyj's Gross Margin % compare to UBER and SHOP?
According to the Software industry distribution chart, Lemonsoft Oyj ranks #1358 out of 2680 companies for Gross Margin %. This places Lemonsoft Oyj in the lower half of its industry. The industry median Gross Margin % is 40.45. Lemonsoft Oyj's value of 40.20% is 0.6% below this benchmark. Historically, Lemonsoft Oyj's own Gross Margin % has ranged from 40.06 to 58.12 over the past decade. While the company's 10-year median is 52.64 vs. the industry median of 40.45, Lemonsoft Oyj has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,680 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lemonsoft Oyj's current Gross Margin % of 40.20% is 0.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Lemonsoft Oyj and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lemonsoft Oyj's current Gross Margin % is 40.20%, which is 24% below median its own 10-year median of 52.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lemonsoft Oyj stock overvalued right now?
Lemonsoft Oyj (FRA:M36) has a current Gross Margin % of 40.20%. The stock's GF Value™ is €6.50, compared to a current price of €4.76 — trading 26.8% below its estimated fair value. The current Gross Margin % is 40.20%, which is 24% below median its 10-year median of 52.64 and 0.6% below the Software industry median of 40.45. Lemonsoft Oyj's overall GF Score™ is 84/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Lemonsoft Oyj (FRA:M36), the current Gross Margin % is 40.20% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Lemonsoft Oyj (FRA:M36) Overvalued in 2026?

Based on GuruFocus' analysis, Lemonsoft Oyj stock appears to be undervalued. The current stock price of €4.76 is trading 26.8% below its estimated GF Value™ of €6.50.

Key valuation signals for FRA:M36:

  • Gross Margin %: 40.20% (24% below median its 10-year median of 52.64)
  • GF Value™: €6.50 vs. price of €4.76 (26.8% below fair value)
  • GF Score™: 84/100 with 4 warning signs
  • Industry Position: 0.6% below the Software median (#1358 of 2680)

No single metric tells the full story. See the FRA:M36 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Lemonsoft Oyj Business Description

Other Exchanges LEMON:Finland
Address Vaasanpuistikko 20 A, 4th floor, Vaasa, FIN, 65100
Lemonsoft Oyj is a Finnish software company that designs, develops, and sells ERP software solutions to streamline its customers' processes across different business lines and administration. The Company operates in the ERP software market in Finland as a service provider for SMEs.
84GF Score

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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€4.76
Price
€6.50
GF Value