MySQUAR (LSE:MYSQ) Gross Margin %: 47.81% (As of Dec. 2017) — 19% Below Median


What is MySQUAR Gross Margin %?

MySQUAR LSE:MYSQ Gross Margin % is 47.81% as of Dec. 2017, which is 19% below its 10-year median of 58.74. The stock has 5 warning signs investors should review.

Gross Margin % is calculated as gross profit divided by its revenue. MySQUAR's Gross Profit for the six months ended in Dec. 2017 was £0.33 Mil. MySQUAR's Revenue for the six months ended in Dec. 2017 was £0.68 Mil. Therefore, MySQUAR's Gross Margin % for the quarter that ended in Dec. 2017 was 47.81%.


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

LSE:MYSQ' s Gross Margin % Range Over the Past 10 Years
Min: 23.27   Med: 58.74   Max: 94.21
Current: 39.76


During the past 4 years, the highest Gross Margin % of MySQUAR was 94.21%. The lowest was 23.27%. And the median was 58.74%.

LSE:MYSQ's Gross Margin % is not ranked
in the Software industry.
Industry Median: 40.455 vs LSE:MYSQ: 39.76

MySQUAR had a gross margin of 47.81% for the quarter that ended in Dec. 2017 => Durable competitive advantage

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


MySQUAR  (LSE:MYSQ) 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

MySQUAR had a gross margin of 47.81% for the quarter that ended in Dec. 2017 => 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.


MySQUAR Gross Margin % Related Terms


MySQUAR Gross Margin % Historical Data

* Premium members only.

The historical data trend for MySQUAR'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.

MySQUAR Gross Margin % Chart

MySQUAR Annual Data
Trend Jun14 Jun15 Jun16 Jun17
Gross Margin %
0.00 0.00 94.11 23.24

MySQUAR Semi-Annual Data
Jun14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17
Gross Margin % Get a 7-Day Free Trial 74.36 109.90 9.52 29.82 47.81

LSE:MYSQ vs WDDD, ATEA, ITLL: Gross Margin % Comparison

For the Software - Application subindustry, MySQUAR'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.


MySQUAR Gross Margin % vs Software Industry

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

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



MySQUAR Gross Margin % Calculation

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

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

Gross Margin % (A: Jun. 2017 )=Gross Profit (A: Jun. 2017 ) / Revenue (A: Jun. 2017 )
=0.2 / 0.826
=(Revenue - Cost of Goods Sold) / Revenue
=(0.826 - 0.634) / 0.826
=23.24 %

MySQUAR's Gross Margin for the quarter that ended in Dec. 2017 is calculated as


Gross Margin % (Q: Dec. 2017 )=Gross Profit (Q: Dec. 2017 ) / Revenue (Q: Dec. 2017 )
=0.3 / 0.684
=(Revenue - Cost of Goods Sold) / Revenue
=(0.684 - 0.357) / 0.684
=47.81 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 47.81% mean?
MySQUAR (LSE:MYSQ) has a Gross Margin % of 47.81% as of Dec. 2017. Gross margin is the ratio of total gross profit to net sales. View historical data on MySQUAR and its competitors. This is 19% below median its historical median of 58.74. Over the past decade, MySQUAR's Gross Margin % has ranged from 23.27 to 94.21.
Is MySQUAR's Gross Margin % too high?
MySQUAR's current Gross Margin % of 47.81% is 19% below median its 10-year median of 58.74. Over the past 10 years, this metric has ranged from a low of 23.27 to a high of 94.21. The Software industry median Gross Margin % is 40.46. MySQUAR's value of 47.81% is 18.2% above this industry median.
How does MySQUAR's Gross Margin % compare to WDDD and ATEA?
MySQUAR's Gross Margin % of 47.81% can be compared against companies in the Software industry. The industry median Gross Margin % is 40.46. MySQUAR's value of 47.81% is 18.2% above this benchmark. Historically, MySQUAR's own Gross Margin % has ranged from 23.27 to 94.21 over the past decade. While the company's 10-year median is 58.74 vs. the industry median of 40.46, MySQUAR 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 40.46, based on 2,678 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. MySQUAR's current Gross Margin % of 47.81% is 18.2% 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 MySQUAR and its competitors. For the Software industry, the median Gross Margin % is 40.46 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. MySQUAR's current Gross Margin % is 47.81%, which is 19% below median its own 10-year median of 58.74. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MySQUAR stock overvalued right now?
MySQUAR (LSE:MYSQ) has a current Gross Margin % of 47.81%. The current Gross Margin % is 47.81%, which is 19% below median its 10-year median of 58.74 and 18.2% above the Software industry median of 40.46. 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 MySQUAR (LSE:MYSQ), the current Gross Margin % is 47.81% as of Dec. 2017. 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.

MySQUAR Business Description

MySQUAR Ltd is engaged in designing, developing and commercializing Myanmar- focused internet-based mobile services, mobile messaging applications including social networks, digital content, mobile gaming. It also offers in-app advertising, news aggregation, transaction-based monetisation and e-commerce services. The mobile applications developed by the company include CallHome, Fastsell, Mychat, Mysocial, Chakra Ninja and Hawk Hero. The company has three segments namely Technical Integration, Mobile gaming, and Advertising. The majority of the company's revenue comes from Its Technical Integration segment.