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Quantum (LTS:0A7S) Gross Margin % : 43.77% (As of Dec. 2024)


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What is Quantum Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Quantum's Gross Profit for the three months ended in Dec. 2024 was $31.8 Mil. Quantum's Revenue for the three months ended in Dec. 2024 was $72.6 Mil. Therefore, Quantum's Gross Margin % for the quarter that ended in Dec. 2024 was 43.77%.

Warning Sign:

Quantum Corp gross margin has been in long-term decline. The average rate of decline per year is -2.6%.


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

LTS:0A7S' s Gross Margin % Range Over the Past 10 Years
Min: 33.94   Med: 41.63   Max: 44.3
Current: 40.05


During the past 13 years, the highest Gross Margin % of Quantum was 44.30%. The lowest was 33.94%. And the median was 41.63%.

LTS:0A7S's Gross Margin % is ranked better than
76.95% of 2417 companies
in the Hardware industry
Industry Median: 24.63 vs LTS:0A7S: 40.05

Quantum had a gross margin of 43.77% for the quarter that ended in Dec. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Quantum was -2.60% per year.


Quantum Gross Margin % Historical Data

The historical data trend for Quantum'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.

Quantum Gross Margin % Chart

Quantum Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 42.81 43.12 41.11 33.94 40.08

Quantum Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 40.57 38.23 36.63 41.53 43.77

Competitive Comparison of Quantum's Gross Margin %

For the Computer Hardware subindustry, Quantum'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.


Quantum's Gross Margin % Distribution in the Hardware Industry

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

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


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Quantum Gross Margin % Calculation

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

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

Gross Margin % (A: Mar. 2024 )=Gross Profit (A: Mar. 2024 ) / Revenue (A: Mar. 2024 )
=124.9 / 311.6
=(Revenue - Cost of Goods Sold) / Revenue
=(311.6 - 186.711) / 311.6
=40.08 %

Quantum's Gross Margin for the quarter that ended in Dec. 2024 is calculated as


Gross Margin % (Q: Dec. 2024 )=Gross Profit (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=31.8 / 72.551
=(Revenue - Cost of Goods Sold) / Revenue
=(72.551 - 40.796) / 72.551
=43.77 %

* 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.


Quantum  (LTS:0A7S) 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

Quantum had a gross margin of 43.77% for the quarter that ended in Dec. 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.


Quantum Gross Margin % Related Terms

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Quantum Business Description

Traded in Other Exchanges
Address
224 Airport Parkway, Suite 550, San Jose, CA, USA, 95110
Quantum Corp is a United States-based company that delivers end-to-end data management solutions designed for unstructured data. The company provides solutions for the entire data lifecycle. The company specialize in solutions for video, images, audio, and other large files. The company's portfolio of products includes primary storage software and systems, secondary storage software and systems, as well as devices and media. The company's Primary Storage Software and Systems include Myriad All-Flash Software-Defined Storage, StorNext Hybrid Flash/Disk File Storage Software, and Unified Surveillance Platform Software. Secondary Storage Software and Systems include ActiveScale Object Storage Software and DXi Backup Appliances. The firm derives the majority of its revenue from United States.

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