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Numerex (Numerex) Gross Margin % : 35.66% (As of Sep. 2017)


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What is Numerex Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Numerex's Gross Profit for the three months ended in Sep. 2017 was $5.46 Mil. Numerex's Revenue for the three months ended in Sep. 2017 was $15.30 Mil. Therefore, Numerex's Gross Margin % for the quarter that ended in Sep. 2017 was 35.66%.


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


NMRX's Gross Margin % is not ranked *
in the Hardware industry.
Industry Median: 24.355
* Ranked among companies with meaningful Gross Margin % only.

Numerex had a gross margin of 35.66% for the quarter that ended in Sep. 2017 => Competition eroding margins

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


Numerex Gross Margin % Historical Data

The historical data trend for Numerex'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.

Numerex Gross Margin % Chart

Numerex Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 42.86 41.29 46.09 42.97 48.29

Numerex Quarterly Data
Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17
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 48.67 44.54 48.15 52.25 35.66

Competitive Comparison of Numerex's Gross Margin %

For the Communication Equipment subindustry, Numerex'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.


Numerex's Gross Margin % Distribution in the Hardware Industry

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

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



Numerex Gross Margin % Calculation

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

Numerex's Gross Margin for the fiscal year that ended in Dec. 2016 is calculated as

Gross Margin % (A: Dec. 2016 )=Gross Profit (A: Dec. 2016 ) / Revenue (A: Dec. 2016 )
=34.1 / 70.645
=(Revenue - Cost of Goods Sold) / Revenue
=(70.645 - 36.531) / 70.645
=48.29 %

Numerex's Gross Margin for the quarter that ended in Sep. 2017 is calculated as


Gross Margin % (Q: Sep. 2017 )=Gross Profit (Q: Sep. 2017 ) / Revenue (Q: Sep. 2017 )
=5.5 / 15.303
=(Revenue - Cost of Goods Sold) / Revenue
=(15.303 - 9.846) / 15.303
=35.66 %

* 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.


Numerex  (NAS:NMRX) 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

Numerex had a gross margin of 35.66% for the quarter that ended in Sep. 2017 => 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.


Numerex Gross Margin % Related Terms

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Numerex (Numerex) Business Description

Traded in Other Exchanges
N/A
Address
Numerex Corp provides managed enterprise solutions enabling the Internet of Things. The Company offers a portfolio of managed end-to-end IoT solutions including smart devices, network connectivity and service applications.
Executives
Eric Singer director 323 SUNNY ISLES BLVD., SUITE 700, SUNNY ISLES BEACH FL 33160
Kenneth L Gayron officer: INTERIM CEO AND CFO 75 NETWORK DRIVE, BURLINGTON MA 34212
Brian C Beazer director C/O NUMEREX, 1600 PARKWOOD CIRCLE #200, ATLANTA GA 30339-2119

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