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Gawk (GAWK) Gross Margin % : 22.88% (As of Oct. 2017)


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What is Gawk Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Gawk's Gross Profit for the three months ended in Oct. 2017 was $0.31 Mil. Gawk's Revenue for the three months ended in Oct. 2017 was $1.34 Mil. Therefore, Gawk's Gross Margin % for the quarter that ended in Oct. 2017 was 22.88%.


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


GAWK's Gross Margin % is not ranked *
in the Software industry.
Industry Median: 41.73
* Ranked among companies with meaningful Gross Margin % only.

Gawk had a gross margin of 22.88% for the quarter that ended in Oct. 2017 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Gawk was 0.00% per year.


Gawk Gross Margin % Historical Data

The historical data trend for Gawk'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.

Gawk Gross Margin % Chart

Gawk Annual Data
Trend Jan12 Jan13 Jan14 Jan15 Jan16 Jan17
Gross Margin %
Get a 7-Day Free Trial - - - 14.09 22.10

Gawk Quarterly Data
Jan13 Apr13 Jul13 Oct13 Jan14 Apr14 Jul14 Oct14 Jan15 Apr15 Jul15 Oct15 Jan16 Apr16 Jul16 Oct16 Jan17 Apr17 Jul17 Oct17
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 30.09 7.00 28.95 19.29 22.88

Competitive Comparison of Gawk's Gross Margin %

For the Software - Infrastructure subindustry, Gawk'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.


Gawk's Gross Margin % Distribution in the Software Industry

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

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



Gawk Gross Margin % Calculation

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

Gawk's Gross Margin for the fiscal year that ended in Jan. 2017 is calculated as

Gross Margin % (A: Jan. 2017 )=Gross Profit (A: Jan. 2017 ) / Revenue (A: Jan. 2017 )
=1.2 / 5.638
=(Revenue - Cost of Goods Sold) / Revenue
=(5.638 - 4.392) / 5.638
=22.10 %

Gawk's Gross Margin for the quarter that ended in Oct. 2017 is calculated as


Gross Margin % (Q: Oct. 2017 )=Gross Profit (Q: Oct. 2017 ) / Revenue (Q: Oct. 2017 )
=0.3 / 1.342
=(Revenue - Cost of Goods Sold) / Revenue
=(1.342 - 1.035) / 1.342
=22.88 %

* 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.


Gawk  (OTCPK:GAWK) 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

Gawk had a gross margin of 22.88% for the quarter that ended in Oct. 2017 => 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.


Gawk Gross Margin % Related Terms

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Gawk (GAWK) Business Description

Traded in Other Exchanges
N/A
Address
5300 Melrose Avenue, Suite 42, Los Angeles, CA, USA, 90038
Gawk Inc offers cloud communications, cloud connectivity, cloud computing, and managed cloud-based applications solutions to businesses; and offers domestic and international voice services to communications carriers worldwide. It also offers advanced data center and cloud-based services, including fault-tolerant, high availability cloud servers, which comprise a platform as a service, infrastructure as a service, and a content delivery network; managed network services that converge voice and data applications, structured cabling, wireless, and security services, as well as include Internet access via Ethernet or fiber at speeds ranging from 10 Mbps to 10 Gbps; and data center solutions, including cloud services, colocation services, and business continuity services.

Gawk (GAWK) Headlines

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