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FCS Software Solutions (NSE:FCSSOFT) Gross Margin % : 45.65% (As of Dec. 2023)


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What is FCS Software Solutions Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. FCS Software Solutions's Gross Profit for the three months ended in Dec. 2023 was ₹41.4 Mil. FCS Software Solutions's Revenue for the three months ended in Dec. 2023 was ₹90.7 Mil. Therefore, FCS Software Solutions's Gross Margin % for the quarter that ended in Dec. 2023 was 45.65%.


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

NSE:FCSSOFT' s Gross Margin % Range Over the Past 10 Years
Min: 11.44   Med: 20.29   Max: 29.75
Current: 27.18


During the past 13 years, the highest Gross Margin % of FCS Software Solutions was 29.75%. The lowest was 11.44%. And the median was 20.29%.

NSE:FCSSOFT's Gross Margin % is ranked worse than
69.68% of 2635 companies
in the Software industry
Industry Median: 41.74 vs NSE:FCSSOFT: 27.18

FCS Software Solutions had a gross margin of 45.65% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for FCS Software Solutions was 3.70% per year.


FCS Software Solutions Gross Margin % Historical Data

The historical data trend for FCS Software Solutions'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.

FCS Software Solutions Gross Margin % Chart

FCS Software Solutions Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 24.95 29.75 23.80 16.44 19.82

FCS Software Solutions Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 39.91 -5,667.04 40.93 46.24 45.65

Competitive Comparison of FCS Software Solutions's Gross Margin %

For the Information Technology Services subindustry, FCS Software Solutions'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.


FCS Software Solutions's Gross Margin % Distribution in the Software Industry

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

* The bar in red indicates where FCS Software Solutions's Gross Margin % falls into.



FCS Software Solutions Gross Margin % Calculation

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

FCS Software Solutions's Gross Margin for the fiscal year that ended in Mar. 2023 is calculated as

Gross Margin % (A: Mar. 2023 )=Gross Profit (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=52.9 / 267.066
=(Revenue - Cost of Goods Sold) / Revenue
=(267.066 - 214.145) / 267.066
=19.82 %

FCS Software Solutions's Gross Margin for the quarter that ended in Dec. 2023 is calculated as


Gross Margin % (Q: Dec. 2023 )=Gross Profit (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=41.4 / 90.693
=(Revenue - Cost of Goods Sold) / Revenue
=(90.693 - 49.289) / 90.693
=45.65 %

* 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.


FCS Software Solutions  (NSE:FCSSOFT) 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

FCS Software Solutions had a gross margin of 45.65% for the quarter that ended in Dec. 2023 => 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.


FCS Software Solutions Gross Margin % Related Terms

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FCS Software Solutions (NSE:FCSSOFT) Business Description

Traded in Other Exchanges
Address
Noida Dadri Road, Plot No. 83, Noida Phase - II, Gautam Budh Nagar, FCS House, Noida Special Economic Zone, Noida, UP, IND, 201 305
FCS Software Solutions Ltd is a company that provides Information Technology (IT) services and solutions. The company business consists of software development and marketing and providing support services for Business Process Outsourcing (BPO), software development, and others. Its geographical segments include India and the USA. The company derives a majority of revenue from India. The company's division consists of IT and IT Enable Services; Education/E-Learning and Infrastructure Management. It generates maximum revenue from the IT and IT Enable Services division.

FCS Software Solutions (NSE:FCSSOFT) Headlines

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