CerillionLSE:CER 92 Gross Margin % is 75.81% as of Mar. 2026, which is 2% below its 10-year median of 77.07. GuruFocus rates LSE:CER with a GF Score™ of 92/100 and a GF Value™ of £17.16 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 2,680 Software companies, Cerillion ranks better than 88.1% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Cerillion's Gross Profit for the
six
months ended in Mar. 2026 was £13.65 Mil. Cerillion's Revenue for the
six
months ended in Mar. 2026 was £18.01 Mil. Therefore, Cerillion's Gross Margin % for the quarter that ended in Mar. 2026 was 75.81%.
The historical rank and industry rank for Cerillion's Gross Margin % or its related term are showing as below:
LSE:CER'
s Gross Margin % Range Over the Past 10 Years
Min: 72.48 Med: 77.07 Max: 81.5
Current: 79.54
During the past 13 years, the highestGross Margin % of Cerillion was 81.50%. The lowest was 72.48%. And the median was 77.07%.
LSE:CER's Gross Margin % is ranked better than 88.1% of 2680
companies
in the Software industry
Industry Median: 40.45
vs LSE:CER: 79.54
Cerillion had a gross margin of 75.81% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Cerillion was 1.70% per year.
Cerillion (LSE:CER) 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
Cerillion had a gross margin of 75.81% for the quarter that ended in Mar. 2026 => 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.
Cerillion Gross Margin % Related Terms
Cerillion Gross Margin % Historical Data
* Premium members only.
The historical data trend for Cerillion'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.
LSE:CER vs UBER, SHOP, CRM: Gross Margin % Comparison
For the Software - Application subindustry, Cerillion'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.
Cerillion Gross Margin % vs Software Industry
For the Software industry and Technology sector, Cerillion's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Cerillion's Gross Margin % falls into.
* 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.
Cerillion (LSE:CER) has a Gross Margin % of 75.81% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Cerillion and its competitors. This is near median its historical median of 77.07. Over the past decade, Cerillion's Gross Margin % has ranged from 72.48 to 81.50. According to the industry distribution chart, Cerillion ranks #319 out of 2680 companies in the Software industry, placing it in the top 11.9%.
Is Cerillion's Gross Margin % too high?
Cerillion's current Gross Margin % of 75.81% is near median its 10-year median of 77.07. Over the past 10 years, this metric has ranged from a low of 72.48 to a high of 81.50. The Software industry median Gross Margin % is 40.45. Cerillion's value of 75.81% is 87.4% above this industry median. Based on the distribution chart, Cerillion ranks #319 out of 2680 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Cerillion has a GF Score™ of 92/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cerillion's Gross Margin % compare to UBER and SHOP?
According to the Software industry distribution chart, Cerillion ranks #319 out of 2680 companies for Gross Margin %. This places Cerillion in the top 12% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 40.45. Cerillion's value of 75.81% is 87.4% above this benchmark. Historically, Cerillion's own Gross Margin % has ranged from 72.48 to 81.50 over the past decade. While the company's 10-year median is 77.07 vs. the industry median of 40.45, Cerillion has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,680 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Cerillion's current Gross Margin % of 75.81% is 87.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Cerillion and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cerillion's current Gross Margin % is 75.81%, which is near median its own 10-year median of 77.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cerillion stock overvalued right now?
Based on GuruFocus' analysis, Cerillion (LSE:CER) is currently considered Significantly Undervalued. The stock's GF Value™ is £17.16, compared to a current price of £11.00 — trading 35.9% below its estimated fair value. The current Gross Margin % is 75.81%, which is near median its 10-year median of 77.07 and 87.4% above the Software industry median of 40.45. Cerillion's overall GF Score™ is 92/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Cerillion (LSE:CER), the current Gross Margin % is 75.81% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Cerillion (LSE:CER) Overvalued in 2026?
Based on GuruFocus' analysis, Cerillion stock appears to be undervalued.
The current stock price of £11.00 is trading 35.9% below its estimated GF Value™ of £17.16.
GuruFocus considers Cerillion to be Significantly Undervalued.
Key valuation signals for LSE:CER:
Gross Margin %: 75.81% (near median its 10-year median of 77.07)
GF Value™: £17.16 vs. price of £11.00 (35.9% below fair value)
Industry Position: 87.4% above the Software median (#319 of 2680)
No single metric tells the full story. See the LSE:CER stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cerillion PLC is a charging, billing, and customer relationship management software company. It has three operating segments, including Services, Software, and Other. The services segment relates to revenue from providing services to customers on new implementation projects and enhancements. The software segment relates to support and maintenance revenue derived from people using the software. The geographical segments are Europe, Asia Pacific, MEA, and the Americas. The majority of revenue is derived from Europe.
92GF Score
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