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Vobile Group (HKSE:03738) Gross Margin % : 42.70% (As of Jun. 2024)


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What is Vobile Group Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Vobile Group's Gross Profit for the six months ended in Jun. 2024 was HK$504 Mil. Vobile Group's Revenue for the six months ended in Jun. 2024 was HK$1,181 Mil. Therefore, Vobile Group's Gross Margin % for the quarter that ended in Jun. 2024 was 42.70%.

Warning Sign:

Vobile Group Ltd gross margin has been in long-term decline. The average rate of decline per year is -12.9%.


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

HKSE:03738' s Gross Margin % Range Over the Past 10 Years
Min: 40.95   Med: 74.7   Max: 88.56
Current: 44.13


During the past 10 years, the highest Gross Margin % of Vobile Group was 88.56%. The lowest was 40.95%. And the median was 74.70%.

HKSE:03738's Gross Margin % is ranked better than
53.48% of 2618 companies
in the Software industry
Industry Median: 41.435 vs HKSE:03738: 44.13

Vobile Group had a gross margin of 42.70% for the quarter that ended in Jun. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Vobile Group was -12.90% per year.


Vobile Group Gross Margin % Historical Data

The historical data trend for Vobile Group'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.

Vobile Group Gross Margin % Chart

Vobile Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 71.63 48.65 50.80 40.95 42.49

Vobile Group Semi-Annual Data
Dec14 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
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 41.39 40.67 39.17 45.82 42.70

Competitive Comparison of Vobile Group's Gross Margin %

For the Software - Application subindustry, Vobile Group'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.


Vobile Group's Gross Margin % Distribution in the Software Industry

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

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



Vobile Group Gross Margin % Calculation

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

Vobile Group's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )=Gross Profit (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=850.2 / 2000.989
=(Revenue - Cost of Goods Sold) / Revenue
=(2000.989 - 1150.832) / 2000.989
=42.49 %

Vobile Group's Gross Margin for the quarter that ended in Jun. 2024 is calculated as


Gross Margin % (Q: Jun. 2024 )=Gross Profit (Q: Jun. 2024 ) / Revenue (Q: Jun. 2024 )
=504.1 / 1180.634
=(Revenue - Cost of Goods Sold) / Revenue
=(1180.634 - 676.517) / 1180.634
=42.70 %

* 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.


Vobile Group  (HKSE:03738) 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

Vobile Group had a gross margin of 42.70% for the quarter that ended in Jun. 2024 => 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.


Vobile Group Gross Margin % Related Terms

Thank you for viewing the detailed overview of Vobile Group's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Vobile Group Business Description

Traded in Other Exchanges
Address
1 Matheson Street, Suite 3712, 37th Floor, Tower 2, Times Square, Causeway Bay, Hong Kong, HKG
Vobile Group Ltd is a Saas provider of digital content protection and monetization technology services. It builds the essential technology infrastructure to support the distribution of digital content assets. The company's products are VideoTracker, ReClaim, TV Ad Tracking, Online TVOD PPT, MediaWise, and Transaction-based SaaS business that includes content monetization platforms to enable revenue-sharing for conventional home video distribution through its conventional PPT platform.
Executives
Greater Bay Area Homeland Investments Limited 2201 Interest of corporation controlled by you
Poly Platinum Enterprises Limited 2101 Beneficial owner
Greater Bay Area Homeland Development Fund (gp) Limited 2201 Interest of corporation controlled by you
Wang Yangbin Bernard 2101 Beneficial owner
Hangzhou Yunbo Investment Consulting Co., Ltd.
Hu Simon Xiaoming
Jiang Fang
Jing Eric Xiandong
Ma Yun
Lu Jian 2307 Founder of a discretionary trust who can infl
Ma Yi Ke Ji Ji Tuan Gu Fen You Xian Gong Si 2201 Interest of corporation controlled by you
Hang Zhou Yun Qiang Qi Ye Guan Li Zi Xun You Xian Gong Si 2201 Interest of corporation controlled by you
Antfin (hong Kong) Holding Limited 2101 Beneficial owner
Tricor Equity Trustee Limited 2301 Trustee
Navibell Venture Corp. 2101 Beneficial owner

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