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Vunani (JSE:VUN) Gross Margin % : -0.04% (As of Feb. 2024)


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What is Vunani Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Vunani's Gross Profit for the six months ended in Feb. 2024 was R-0.1 Mil. Vunani's Revenue for the six months ended in Feb. 2024 was R316.0 Mil. Therefore, Vunani's Gross Margin % for the quarter that ended in Feb. 2024 was -0.04%.

Warning Sign:

Vunani Ltd gross margin has been in long-term decline. The average rate of decline per year is -4.2%.


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

JSE:VUN' s Gross Margin % Range Over the Past 10 Years
Min: 36.41   Med: 51.51   Max: 58.59
Current: 36.41


During the past 13 years, the highest Gross Margin % of Vunani was 58.59%. The lowest was 36.41%. And the median was 51.51%.

JSE:VUN's Gross Margin % is ranked worse than
59.9% of 616 companies
in the Capital Markets industry
Industry Median: 48.34 vs JSE:VUN: 36.41

Vunani had a gross margin of -0.04% for the quarter that ended in Feb. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Vunani was -4.20% per year.


Vunani Gross Margin % Historical Data

The historical data trend for Vunani'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.

Vunani Gross Margin % Chart

Vunani Annual Data
Trend Dec14 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 57.07 51.69 51.51 47.67 36.41

Vunani Semi-Annual Data
Dec13 Jun14 Dec14 Jun15 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24
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 25.44 74.44 23.26 69.32 -0.04

Competitive Comparison of Vunani's Gross Margin %

For the Capital Markets subindustry, Vunani'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.


Vunani's Gross Margin % Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Vunani's Gross Margin % distribution charts can be found below:

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



Vunani Gross Margin % Calculation

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

Vunani's Gross Margin for the fiscal year that ended in Feb. 2024 is calculated as

Gross Margin % (A: Feb. 2024 )=Gross Profit (A: Feb. 2024 ) / Revenue (A: Feb. 2024 )
=242.5 / 665.971
=(Revenue - Cost of Goods Sold) / Revenue
=(665.971 - 423.498) / 665.971
=36.41 %

Vunani's Gross Margin for the quarter that ended in Feb. 2024 is calculated as


Gross Margin % (Q: Feb. 2024 )=Gross Profit (Q: Feb. 2024 ) / Revenue (Q: Feb. 2024 )
=-0.1 / 315.976
=(Revenue - Cost of Goods Sold) / Revenue
=(315.976 - 316.118) / 315.976
=-0.04 %

* 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.


Vunani  (JSE:VUN) 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

Vunani had a gross margin of -0.04% for the quarter that ended in Feb. 2024 => 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.


Vunani Gross Margin % Related Terms

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


Vunani Business Description

Traded in Other Exchanges
N/A
Address
151 Katherine Street, Vunani House, Vunani Office Park, Sandown, Sandton, Johannesburg, GT, ZAF, 2196
Vunani Ltd is a financial services company. The company has seven reportable segments fund management, asset administration, advisory services, institutional securities broking, and insurance. The fund management and other investment segments are geographically located in South Africa and, on a smaller scale, in Botswana. The institutional securities broking, commodities trading, asset administration and advisory services segments are geographically located in South Africa. The insurance segment, located in Eswatini, was acquired during the year.

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