GURUFOCUS.COM » STOCK LIST » Technology » Software » Global Link Communications Holdings Ltd (HKSE:08060) » Definitions » Gross Margin %

Global Link Communications Holdings (HKSE:08060) Gross Margin % : 11.52% (As of Sep. 2023)


View and export this data going back to 2002. Start your Free Trial

What is Global Link Communications Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Global Link Communications Holdings's Gross Profit for the three months ended in Sep. 2023 was HK$4.2 Mil. Global Link Communications Holdings's Revenue for the three months ended in Sep. 2023 was HK$36.8 Mil. Therefore, Global Link Communications Holdings's Gross Margin % for the quarter that ended in Sep. 2023 was 11.52%.

Warning Sign:

Global Link Communications Holdings Ltd gross margin has been in long-term decline. The average rate of decline per year is -33.1%.


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

HKSE:08060' s Gross Margin % Range Over the Past 10 Years
Min: 2.32   Med: 10.53   Max: 29.29
Current: 5.91


During the past 13 years, the highest Gross Margin % of Global Link Communications Holdings was 29.29%. The lowest was 2.32%. And the median was 10.53%.

HKSE:08060's Gross Margin % is ranked worse than
94.33% of 2628 companies
in the Software industry
Industry Median: 41.73 vs HKSE:08060: 5.91

Global Link Communications Holdings had a gross margin of 11.52% for the quarter that ended in Sep. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Global Link Communications Holdings was -33.10% per year.


Global Link Communications Holdings Gross Margin % Historical Data

The historical data trend for Global Link Communications 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.

Global Link Communications Holdings Gross Margin % Chart

Global Link Communications Holdings Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 29.29 13.95 14.40 4.91 4.60

Global Link Communications Holdings Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
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 9.30 3.16 1.46 7.91 11.52

Competitive Comparison of Global Link Communications Holdings's Gross Margin %

For the Software - Application subindustry, Global Link Communications 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.


Global Link Communications Holdings's Gross Margin % Distribution in the Software Industry

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

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



Global Link Communications Holdings Gross Margin % Calculation

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

Global Link Communications Holdings's Gross Margin for the fiscal year that ended in Mar. 2023 is calculated as

Gross Margin % (A: Mar. 2023 )=Gross Profit (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=6.4 / 139.978
=(Revenue - Cost of Goods Sold) / Revenue
=(139.978 - 133.546) / 139.978
=4.60 %

Global Link Communications Holdings's Gross Margin for the quarter that ended in Sep. 2023 is calculated as


Gross Margin % (Q: Sep. 2023 )=Gross Profit (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=4.2 / 36.782
=(Revenue - Cost of Goods Sold) / Revenue
=(36.782 - 32.543) / 36.782
=11.52 %

* 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.


Global Link Communications Holdings  (HKSE:08060) 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

Global Link Communications Holdings had a gross margin of 11.52% for the quarter that ended in Sep. 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.


Global Link Communications Holdings Gross Margin % Related Terms

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


Global Link Communications Holdings (HKSE:08060) Business Description

Traded in Other Exchanges
N/A
Address
188 Connaught Road West, Room 3815, Hong Kong Plaza, Hong Kong, HKG
Global Link Communications Holdings Ltd is engaged in the supply, development, and integration of passenger information management systems. It offers certified and licensed train information system products, such as media broadcast systems, railway broadcast systems, and LCD passenger information display systems. It also provides urban rail transit operators with technical support and operation maintenance services in China. Geographically it operates through PRC and Hong Kong. and its revenue comes from PRC.

Global Link Communications Holdings (HKSE:08060) Headlines

No Headlines