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Quectel Wireless Solutions Co (SHSE:603236) Gross Margin % : 17.81% (As of Mar. 2025)


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What is Quectel Wireless Solutions Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Quectel Wireless Solutions Co's Gross Profit for the three months ended in Mar. 2025 was ¥930 Mil. Quectel Wireless Solutions Co's Revenue for the three months ended in Mar. 2025 was ¥5,221 Mil. Therefore, Quectel Wireless Solutions Co's Gross Margin % for the quarter that ended in Mar. 2025 was 17.81%.

Warning Sign:

Quectel Wireless Solutions Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -2.8%.


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

SHSE:603236' s Gross Margin % Range Over the Past 10 Years
Min: 17.56   Med: 20.01   Max: 25.42
Current: 17.8


During the past 12 years, the highest Gross Margin % of Quectel Wireless Solutions Co was 25.42%. The lowest was 17.56%. And the median was 20.01%.

SHSE:603236's Gross Margin % is ranked worse than
66.58% of 2415 companies
in the Hardware industry
Industry Median: 24.36 vs SHSE:603236: 17.80

Quectel Wireless Solutions Co had a gross margin of 17.81% for the quarter that ended in Mar. 2025 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Quectel Wireless Solutions Co was -2.80% per year.


Quectel Wireless Solutions Co Gross Margin % Historical Data

The historical data trend for Quectel Wireless Solutions Co'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.

Quectel Wireless Solutions Co Gross Margin % Chart

Quectel Wireless Solutions Co Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 20.23 17.56 19.78 18.94 17.61

Quectel Wireless Solutions Co Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 16.93 19.26 17.58 16.82 17.81

Competitive Comparison of Quectel Wireless Solutions Co's Gross Margin %

For the Communication Equipment subindustry, Quectel Wireless Solutions Co'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.


Quectel Wireless Solutions Co's Gross Margin % Distribution in the Hardware Industry

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

* The bar in red indicates where Quectel Wireless Solutions Co's Gross Margin % falls into.


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Quectel Wireless Solutions Co Gross Margin % Calculation

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

Quectel Wireless Solutions Co's Gross Margin for the fiscal year that ended in Dec. 2024 is calculated as

Gross Margin % (A: Dec. 2024 )=Gross Profit (A: Dec. 2024 ) / Revenue (A: Dec. 2024 )
=3274.4 / 18594.056
=(Revenue - Cost of Goods Sold) / Revenue
=(18594.056 - 15319.642) / 18594.056
=17.61 %

Quectel Wireless Solutions Co's Gross Margin for the quarter that ended in Mar. 2025 is calculated as


Gross Margin % (Q: Mar. 2025 )=Gross Profit (Q: Mar. 2025 ) / Revenue (Q: Mar. 2025 )
=929.9 / 5221.393
=(Revenue - Cost of Goods Sold) / Revenue
=(5221.393 - 4291.505) / 5221.393
=17.81 %

* 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.


Quectel Wireless Solutions Co  (SHSE:603236) 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

Quectel Wireless Solutions Co had a gross margin of 17.81% for the quarter that ended in Mar. 2025 => No sustainable 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.


Quectel Wireless Solutions Co Gross Margin % Related Terms

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


Quectel Wireless Solutions Co Business Description

Traded in Other Exchanges
N/A
Address
No.1016 Tianlin Road, Building 5, Shanghai Business Park, Minhang District, Shanghai, CHN, 200233
Quectel Wireless Solutions Co Ltd is engaged in the design, development of cellular communication modules. It primarily supplies 5G, LTE, LTE-A, LPWA, Smart Module, C-V2X, GSM/GPRS and GNSS modules.
Executives
Qian Peng He Directors, senior managers
Zhang Dong Directors, senior managers
Zheng Lei senior management
Yang Zhong Zhi senior management
Huang Zhong Lin Director

Quectel Wireless Solutions Co Headlines

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