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SITO Mobile (SITO Mobile) Gross Margin % : 15.27% (As of Sep. 2019)


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What is SITO Mobile Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. SITO Mobile's Gross Profit for the three months ended in Sep. 2019 was $0.43 Mil. SITO Mobile's Revenue for the three months ended in Sep. 2019 was $2.81 Mil. Therefore, SITO Mobile's Gross Margin % for the quarter that ended in Sep. 2019 was 15.27%.


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


STTO's Gross Margin % is not ranked *
in the Telecommunication Services industry.
Industry Median: 49.5
* Ranked among companies with meaningful Gross Margin % only.

SITO Mobile had a gross margin of 15.27% for the quarter that ended in Sep. 2019 => No sustainable competitive advantage

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


SITO Mobile Gross Margin % Historical Data

The historical data trend for SITO Mobile'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.

SITO Mobile Gross Margin % Chart

SITO Mobile Annual Data
Trend Sep09 Sep10 Sep11 Sep12 Sep13 Sep14 Sep15 Dec16 Dec17 Dec18
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 59.41 59.79 52.82 48.26 46.30

SITO Mobile Quarterly Data
Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19
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 47.90 50.30 33.90 32.23 15.27

Competitive Comparison of SITO Mobile's Gross Margin %

For the Telecom Services subindustry, SITO Mobile'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.


SITO Mobile's Gross Margin % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, SITO Mobile's Gross Margin % distribution charts can be found below:

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



SITO Mobile Gross Margin % Calculation

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

SITO Mobile's Gross Margin for the fiscal year that ended in Dec. 2018 is calculated as

Gross Margin % (A: Dec. 2018 )=Gross Profit (A: Dec. 2018 ) / Revenue (A: Dec. 2018 )
=18.4 / 39.746
=(Revenue - Cost of Goods Sold) / Revenue
=(39.746 - 21.344) / 39.746
=46.30 %

SITO Mobile's Gross Margin for the quarter that ended in Sep. 2019 is calculated as


Gross Margin % (Q: Sep. 2019 )=Gross Profit (Q: Sep. 2019 ) / Revenue (Q: Sep. 2019 )
=0.4 / 2.809
=(Revenue - Cost of Goods Sold) / Revenue
=(2.809 - 2.38) / 2.809
=15.27 %

* 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.


SITO Mobile  (OTCPK:STTO) 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

SITO Mobile had a gross margin of 15.27% for the quarter that ended in Sep. 2019 => 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.


SITO Mobile Gross Margin % Related Terms

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


SITO Mobile (SITO Mobile) Business Description

Traded in Other Exchanges
N/A
Address
100 Town Square Place, Suite 204, Jersey City, NJ, USA, 07310
SITO Mobile Ltd operates a mobile location-based advertising platform serving businesses, advertisers, and brands. Business activity of the group is operated SITO Location Based Advertising and SITO Mobile Messaging source. SITO Location Based Advertising displays advertisements and videos on behalf of advertisers including various features, such as geo-fencing, verified walk-in, behavioral targeting, and analytics and optimization; and SITO Mobile Messaging is a platform for building and controlling tailored programs including messaging and customer incentive programs. Its platform and tools are designed to enable large brands or anyone with substantial reach to utilize the mobile device as a new means to communicate.
Executives
Stephen D Baksa director
Scott L Kauffman officer: Chief Executive Officer 260 CHURCHILL AVENUE, PALO ALTO CA 94301
Priore Mark Del other: Former Chief Financial Officer C/O SITO MOBILE, LTD., 100 TOWN SQUARE PLACE, SUITE 204, JERSEY CITY NJ 07310
Itzhak Fisher director 767 FIFTH AVE STE 4300, NEW YORK NY 10153
Matthew Stecker director 711 SOUTH BRYN MAWR AVE., BRYN MAWR PA 19010
Thomas Thekkethala director 9777 PYRAMID COURT, SUITE 100, ENGLEWOOD CO 80112
Brent David Rosenthal director C/O WR HUFF ASSET MANAGEMENT, 67 PARK PLACE, MORRISTOWN NJ 07960
Betsy J Bernard director 711 HIGH STREET, DES MOINES IA 50392-0300
Lawrence Firestone officer: Interim CFO C/O CVD EQUIPMENT CORPORATION, C/O CVD EQUIPMENT CORPORATION, CENTRAL ISLIP NY 11722
Lowell W Robinson director 470 WEST END AVENUE, NEW YORK NY 10024
Karen Singer 10 percent owner 212 VACCARO DRIVE, CRESSKILL NJ 07626
Philip B Livingston director 1241 EAST MAIN ST, STAMFORD CT 06902
Stuart Levine director 3 HUNTINGTON QUADRANGLE, SUITE 200S, MELVILLE NY 11747-8943
James Larry Nelson director 2747 PARADISE ROAD, PH2804, LAS VEGAS NV 89109