Digia Oyj (FRA:S2Y) Gross Margin %: 25.62% (As of Dec. 2025) — Near Median

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FRA:S2Y Digia Oyj FRA:S2Y
87 GF Score
Price €5.76
GF Value €7.05
! 4 Warning Signs
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What is Digia Oyj Gross Margin %?

Digia Oyj FRA:S2Y -1.37% 87 Gross Margin % is 25.62% as of Dec. 2025, which is 4% above its 10-year median of 24.75. GuruFocus rates FRA:S2Y with a GF Score™ of 87/100 and a GF Value™ of €7.05. The stock has 4 warning signs investors should review. Among 2,688 Software companies, Digia Oyj ranks worse than 75.45% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Digia Oyj's Gross Profit for the three months ended in Dec. 2025 was €15.4 Mil. Digia Oyj's Revenue for the three months ended in Dec. 2025 was €60.2 Mil. Therefore, Digia Oyj's Gross Margin % for the quarter that ended in Dec. 2025 was 25.62%.


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

FRA:S2Y' s Gross Margin % Range Over the Past 10 Years
Min: 12.94   Med: 24.75   Max: 26.45
Current: 22.6


During the past 13 years, the highest Gross Margin % of Digia Oyj was 26.45%. The lowest was 12.94%. And the median was 24.75%.

FRA:S2Y's Gross Margin % is ranked worse than
75.45% of 2688 companies
in the Software industry
Industry Median: 40.48 vs FRA:S2Y: 22.60

Digia Oyj had a gross margin of 25.62% for the quarter that ended in Dec. 2025 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Digia Oyj was -0.90% per year.


Digia Oyj  (FRA:S2Y) 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

Digia Oyj had a gross margin of 25.62% for the quarter that ended in Dec. 2025 => 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.


Digia Oyj Gross Margin % Related Terms


Digia Oyj Gross Margin % Historical Data

* Premium members only.

The historical data trend for Digia 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.

Digia Oyj Gross Margin % Chart

Digia Oyj Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 25.44 23.15 24.09 25.83 24.34

Digia Oyj Quarterly Data
Sep16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 22.79 21.32 22.35 19.21 25.62

FRA:S2Y vs IBM, ACN, FISV: Gross Margin % Comparison

For the Information Technology Services subindustry, Digia 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.


Digia Oyj Gross Margin % vs Software Industry

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

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


FRA:S2Y
87GF Score
Digia Oyj FRA:S2Y
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Digia Oyj Gross Margin % Calculation

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

Digia 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 )
=52.8 / 217.028
=(Revenue - Cost of Goods Sold) / Revenue
=(217.028 - 164.208) / 217.028
=24.34 %

Digia Oyj's Gross Margin for the quarter that ended in Dec. 2025 is calculated as


Gross Margin % (Q: Dec. 2025 )=Gross Profit (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=15.4 / 60.244
=(Revenue - Cost of Goods Sold) / Revenue
=(60.244 - 44.807) / 60.244
=25.62 %

* 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 25.62% mean?
Digia Oyj (FRA:S2Y) has a Gross Margin % of 25.62% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Digia Oyj and its competitors. This is near median its historical median of 24.75. Over the past decade, Digia Oyj's Gross Margin % has ranged from 12.94 to 26.45. According to the industry distribution chart, Digia Oyj ranks #2028 out of 2688 companies in the Software industry, placing it in the top 75.4%.
Is Digia Oyj's Gross Margin % too high?
Digia Oyj's current Gross Margin % of 25.62% is near median its 10-year median of 24.75. Over the past 10 years, this metric has ranged from a low of 12.94 to a high of 26.45. The Software industry median Gross Margin % is 40.48. Digia Oyj's value of 25.62% is 36.7% below this industry median. Based on the distribution chart, Digia Oyj ranks #2028 out of 2688 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Digia Oyj has a GF Score™ of 87/100, reflecting its overall financial health beyond just this single metric.
How does Digia Oyj's Gross Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Digia Oyj ranks #2028 out of 2688 companies for Gross Margin %. This places Digia Oyj in the lower half of its industry. The industry median Gross Margin % is 40.48. Digia Oyj's value of 25.62% is 36.7% below this benchmark. Historically, Digia Oyj's own Gross Margin % has ranged from 12.94 to 26.45 over the past decade. While the company's 10-year median is 24.75 vs. the industry median of 40.48, Digia 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 40.48, based on 2,688 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. Digia Oyj's current Gross Margin % of 25.62% is 36.7% 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 Digia Oyj and its competitors. For the Software industry, the median Gross Margin % is 40.48 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Digia Oyj's current Gross Margin % is 25.62%, which is near median its own 10-year median of 24.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Digia Oyj stock overvalued right now?
Digia Oyj (FRA:S2Y) has a current Gross Margin % of 25.62%. The stock's GF Value™ is €7.05, compared to a current price of €5.76 — trading 18.3% below its estimated fair value. The current Gross Margin % is 25.62%, which is near median its 10-year median of 24.75 and 36.7% below the Software industry median of 40.48. Digia Oyj's overall GF Score™ is 87/100 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 Digia Oyj (FRA:S2Y), the current Gross Margin % is 25.62% as of Dec. 2025. 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 Digia Oyj (FRA:S2Y) Overvalued in 2026?

Based on GuruFocus' analysis, Digia Oyj stock appears to be undervalued. The current stock price of €5.76 is trading 18.3% below its estimated GF Value™ of €7.05.

Key valuation signals for FRA:S2Y:

  • Gross Margin %: 25.62% (near median its 10-year median of 24.75)
  • GF Value™: €7.05 vs. price of €5.76 (18.3% below fair value)
  • GF Score™: 87/100 with 4 warning signs
  • Industry Position: 36.7% below the Software median (#2028 of 2688)

No single metric tells the full story. See the FRA:S2Y stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Digia Oyj Business Description

Other Exchanges 0IKK:UKDIGIA:Finland
Address Atomitie 2B, Helsinki, FIN, 00370
Digia Oyj is a Finnish-based IT service company. It comprises four service areas: Digital Solutions, Business Platforms, Financial Platforms, and Managed Solutions. The company serves a diverse set of markets, including energy, retail trade, public sector, insurance, manufacturing and service business, banking and investment services, and logistics. Geographically, it operates in Finland, Sweden, Poland, Netherlands & other countries, out of which the majority of its revenue comes from Finland.
87GF Score

Get the complete analysis for FRA:S2Y

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

€5.76
Price
€7.05
GF Value