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Loyal Solutions AS (OSTO:LOYAL) Gross Margin % : 32.40% (As of Jun. 2024)


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What is Loyal Solutions AS Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Loyal Solutions AS's Gross Profit for the six months ended in Jun. 2024 was kr9.79 Mil. Loyal Solutions AS's Revenue for the six months ended in Jun. 2024 was kr30.21 Mil. Therefore, Loyal Solutions AS's Gross Margin % for the quarter that ended in Jun. 2024 was 32.40%.


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

OSTO:LOYAL' s Gross Margin % Range Over the Past 10 Years
Min: 2.42   Med: 16.97   Max: 63.97
Current: 31.6


During the past 7 years, the highest Gross Margin % of Loyal Solutions AS was 63.97%. The lowest was 2.42%. And the median was 16.97%.

OSTO:LOYAL's Gross Margin % is ranked worse than
62.48% of 2628 companies
in the Software industry
Industry Median: 41.24 vs OSTO:LOYAL: 31.60

Loyal Solutions AS had a gross margin of 32.40% for the quarter that ended in Jun. 2024 => Competition eroding margins

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


Loyal Solutions AS Gross Margin % Historical Data

The historical data trend for Loyal Solutions AS'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.

Loyal Solutions AS Gross Margin % Chart

Loyal Solutions AS Annual Data
Trend Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Gross Margin %
Get a 7-Day Free Trial 63.97 16.97 2.42 12.75 31.60

Loyal Solutions AS Semi-Annual Data
Jun18 Jun19 Jun20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.97 12.01 13.36 30.81 32.40

Competitive Comparison of Loyal Solutions AS's Gross Margin %

For the Software - Application subindustry, Loyal Solutions AS'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.


Loyal Solutions AS's Gross Margin % Distribution in the Software Industry

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

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



Loyal Solutions AS Gross Margin % Calculation

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

Loyal Solutions AS's Gross Margin for the fiscal year that ended in Jun. 2024 is calculated as

Gross Margin % (A: Jun. 2024 )=Gross Profit (A: Jun. 2024 ) / Revenue (A: Jun. 2024 )
=19.2 / 60.639
=(Revenue - Cost of Goods Sold) / Revenue
=(60.639 - 41.479) / 60.639
=31.60 %

Loyal Solutions AS's Gross Margin for the quarter that ended in Jun. 2024 is calculated as


Gross Margin % (Q: Jun. 2024 )=Gross Profit (Q: Jun. 2024 ) / Revenue (Q: Jun. 2024 )
=9.8 / 30.21
=(Revenue - Cost of Goods Sold) / Revenue
=(30.21 - 20.423) / 30.21
=32.40 %

* 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.


Loyal Solutions AS  (OSTO:LOYAL) 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

Loyal Solutions AS had a gross margin of 32.40% for the quarter that ended in Jun. 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.


Loyal Solutions AS Gross Margin % Related Terms

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


Loyal Solutions AS Business Description

Traded in Other Exchanges
N/A
Address
Edvard Thomsens Vej 10, 6th floor, Copenhagen S, DNK, DK-2300
Loyal Solutions AS is a software-as-a-service company. It is committed to the development, implementation, and operation of advanced loyalty solutions.

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