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PSG Financial Services Limited (NAM:KFS) Gross Margin % : 29.73% (As of Aug. 2024)


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What is PSG Financial Services Limited Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. PSG Financial Services Limited's Gross Profit for the six months ended in Aug. 2024 was R1,218 Mil. PSG Financial Services Limited's Revenue for the six months ended in Aug. 2024 was R4,096 Mil. Therefore, PSG Financial Services Limited's Gross Margin % for the quarter that ended in Aug. 2024 was 29.73%.

Warning Sign:

PSG Financial Services Limited gross margin has been in long-term decline. The average rate of decline per year is -1.3%.


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

NAM:KFS' s Gross Margin % Range Over the Past 10 Years
Min: 29.25   Med: 34.03   Max: 40.49
Current: 32.54


During the past 13 years, the highest Gross Margin % of PSG Financial Services Limited was 40.49%. The lowest was 29.25%. And the median was 34.03%.

NAM:KFS's Gross Margin % is ranked worse than
66.92% of 529 companies
in the Asset Management industry
Industry Median: 51.87 vs NAM:KFS: 32.54

PSG Financial Services Limited had a gross margin of 29.73% for the quarter that ended in Aug. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for PSG Financial Services Limited was -1.30% per year.


PSG Financial Services Limited Gross Margin % Historical Data

The historical data trend for PSG Financial Services Limited'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.

PSG Financial Services Limited Gross Margin % Chart

PSG Financial Services Limited Annual Data
Trend Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 36.29 37.55 40.49 34.74 33.02

PSG Financial Services Limited Semi-Annual Data
Feb15 Aug15 Feb16 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24
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 31.98 37.21 30.29 35.58 29.73

Competitive Comparison of PSG Financial Services Limited's Gross Margin %

For the Asset Management subindustry, PSG Financial Services Limited'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.


PSG Financial Services Limited's Gross Margin % Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, PSG Financial Services Limited's Gross Margin % distribution charts can be found below:

* The bar in red indicates where PSG Financial Services Limited's Gross Margin % falls into.



PSG Financial Services Limited Gross Margin % Calculation

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

PSG Financial Services Limited'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 )
=2420.6 / 7331.423
=(Revenue - Cost of Goods Sold) / Revenue
=(7331.423 - 4910.815) / 7331.423
=33.02 %

PSG Financial Services Limited's Gross Margin for the quarter that ended in Aug. 2024 is calculated as


Gross Margin % (Q: Aug. 2024 )=Gross Profit (Q: Aug. 2024 ) / Revenue (Q: Aug. 2024 )
=1217.7 / 4095.846
=(Revenue - Cost of Goods Sold) / Revenue
=(4095.846 - 2878.191) / 4095.846
=29.73 %

* 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.


PSG Financial Services Limited  (NAM:KFS) 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

PSG Financial Services Limited had a gross margin of 29.73% for the quarter that ended in Aug. 2024 => Competition eroding margins


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.


PSG Financial Services Limited Gross Margin % Related Terms

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


PSG Financial Services Limited Business Description

Traded in Other Exchanges
Address
3 Howick Close, 4th Floor, The Edge, Tyger Waterfront, Tyger Valley, Bellville, WC, ZAF, 7530
PSG Financial Services Limited is an independent financial services group. Business is executed through three operating divisions: PSG Wealth, PSG Asset Management, and PSG Insure. PSG Wealth provides the group with nearly half of its income, with PSG Insure outweighing PSG Asset Management. Through the Wealth unit, PSG delivers a comprehensive suite of products to individuals, families, and businesses. Some of the PSG Wealth offerings include investment products, stockbroking, estate and trust services, and many other related products. PSG is structured into three segments which are PSG Wealth, generating income from managed and platform assets; PSG Asset Management, deriving income from assets under management; PSG Insure, earning income from premiums and underwriting.