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DLH Holdings (FRA:TS8A) Gross Margin % : 19.18% (As of Dec. 2023)


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What is DLH Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. DLH Holdings's Gross Profit for the three months ended in Dec. 2023 was €17.2 Mil. DLH Holdings's Revenue for the three months ended in Dec. 2023 was €89.7 Mil. Therefore, DLH Holdings's Gross Margin % for the quarter that ended in Dec. 2023 was 19.18%.

Warning Sign:

DLH Holdings Corp gross margin has been in long-term decline. The average rate of decline per year is -1.6%.


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

FRA:TS8A' s Gross Margin % Range Over the Past 10 Years
Min: 14.81   Med: 20.92   Max: 22.35
Current: 20.83


During the past 13 years, the highest Gross Margin % of DLH Holdings was 22.35%. The lowest was 14.81%. And the median was 20.92%.

FRA:TS8A's Gross Margin % is ranked worse than
75.25% of 990 companies
in the Business Services industry
Industry Median: 34.505 vs FRA:TS8A: 20.83

DLH Holdings had a gross margin of 19.18% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for DLH Holdings was -1.60% per year.


DLH Holdings Gross Margin % Historical Data

The historical data trend for DLH Holdings'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.

DLH Holdings Gross Margin % Chart

DLH Holdings Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 22.35 21.79 20.92 18.29 21.25

DLH Holdings Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 21.28 21.30 20.85 21.92 19.18

Competitive Comparison of DLH Holdings's Gross Margin %

For the Specialty Business Services subindustry, DLH Holdings'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.


DLH Holdings's Gross Margin % Distribution in the Business Services Industry

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

* The bar in red indicates where DLH Holdings's Gross Margin % falls into.



DLH Holdings Gross Margin % Calculation

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

DLH Holdings's Gross Margin for the fiscal year that ended in Sep. 2023 is calculated as

Gross Margin % (A: Sep. 2023 )=Gross Profit (A: Sep. 2023 ) / Revenue (A: Sep. 2023 )
=74.8 / 352.192
=(Revenue - Cost of Goods Sold) / Revenue
=(352.192 - 277.367) / 352.192
=21.25 %

DLH Holdings'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 )
=17.2 / 89.728
=(Revenue - Cost of Goods Sold) / Revenue
=(89.728 - 72.517) / 89.728
=19.18 %

* 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.


DLH Holdings  (FRA:TS8A) 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

DLH Holdings had a gross margin of 19.18% for the quarter that ended in Dec. 2023 => No sustainable 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.


DLH Holdings Gross Margin % Related Terms

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DLH Holdings (FRA:TS8A) Business Description

Traded in Other Exchanges
Address
3565 Piedmont Road, NE Building 3, Suite 700, Atlanta, GA, USA, 30305
DLH Holdings Corp is a provider of technology-enabled business process outsourcing and program management solutions in the United States. The company offers services to several government agencies which include the Department of Veteran Affairs. It is engaged in public health, performance evaluation, and health operations to solve the complex problems faced by civilian and military customers alike, leveraging digital transformation, artificial intelligence, analytics, cloud-based applications, and telehealth systems.

DLH Holdings (FRA:TS8A) Headlines

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