TSCC (Technology Solutions Co) Gross Margin %: 116.84% (As of Dec. 2008)


What is Technology Solutions Co Gross Margin %?

Technology Solutions Co TSCC Gross Margin % is 116.84% as of Dec. 2008.

Gross Margin % is calculated as gross profit divided by its revenue. Technology Solutions Co's Gross Profit for the three months ended in Dec. 2008 was $-0.23 Mil. Technology Solutions Co's Revenue for the three months ended in Dec. 2008 was $-0.20 Mil. Therefore, Technology Solutions Co's Gross Margin % for the quarter that ended in Dec. 2008 was 116.84%.


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


TSCC's Gross Margin % is not ranked *
in the Software industry.
Industry Median: 40.45
* Ranked among companies with meaningful Gross Margin % only.

Technology Solutions Co had a gross margin of 116.84% for the quarter that ended in Dec. 2008 => Durable competitive advantage

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


Technology Solutions Co  (OTCPK:TSCC) 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

Technology Solutions Co had a gross margin of 116.84% for the quarter that ended in Dec. 2008 => 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.


Technology Solutions Co Gross Margin % Related Terms


Technology Solutions Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Technology 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.

Technology Solutions Co Gross Margin % Chart

Technology Solutions Co Annual Data
Trend Dec99 Dec00 Dec01 Dec02 Dec03 Dec04 Dec05 Dec06 Dec07 Dec08
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.32 13.56 16.39 8.24 9.30

Technology Solutions Co Quarterly Data
Mar04 Jun04 Sep04 Dec04 Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08
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 8.87 21.29 23.09 -2.13 116.84

TSCC vs SYSX: Gross Margin % Comparison

For the Information Technology Services subindustry, Technology 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.


Technology Solutions Co Gross Margin % vs Software Industry

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

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



Technology Solutions Co Gross Margin % Calculation

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

Technology Solutions Co's Gross Margin for the fiscal year that ended in Dec. 2008 is calculated as

Gross Margin % (A: Dec. 2008 )=Gross Profit (A: Dec. 2008 ) / Revenue (A: Dec. 2008 )
=0.6 / 6.302
=(Revenue - Cost of Goods Sold) / Revenue
=(6.302 - 5.716) / 6.302
=9.30 %

Technology Solutions Co's Gross Margin for the quarter that ended in Dec. 2008 is calculated as


Gross Margin % (Q: Dec. 2008 )=Gross Profit (Q: Dec. 2008 ) / Revenue (Q: Dec. 2008 )
=-0.2 / -0.196
=(Revenue - Cost of Goods Sold) / Revenue
=(-0.196 - 0.033) / -0.196
=116.84 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 116.84% mean?
Technology Solutions Co (TSCC) has a Gross Margin % of 116.84% as of Dec. 2008. Gross margin is the ratio of total gross profit to net sales. View historical data on Technology Solutions Co and its competitors.
Is Technology Solutions Co's Gross Margin % too high?
Technology Solutions Co's current Gross Margin % is 116.84%. The Software industry median Gross Margin % is 40.45. Technology Solutions Co's value of 116.84% is 188.9% above this industry median.
How does Technology Solutions Co's Gross Margin % compare to SYSX?
Technology Solutions Co's Gross Margin % of 116.84% can be compared against companies in the Software industry. The industry median Gross Margin % is 40.45. Technology Solutions Co's value of 116.84% is 188.9% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,685 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Technology Solutions Co's current Gross Margin % of 116.84% is 188.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Technology Solutions Co and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Technology Solutions Co's current Gross Margin % is 116.84%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Technology Solutions Co stock overvalued right now?
Technology Solutions Co (TSCC) has a current Gross Margin % of 116.84%. The current Gross Margin % is 116.84% and 188.9% above the Software industry median of 40.45. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Technology Solutions Co (TSCC), the current Gross Margin % is 116.84% as of Dec. 2008. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Technology Solutions Co Business Description

Address 55 East Monroe street, Suite 2600, Chicago, IL, USA, 60603
Technology Solutions Co provides business-consulting services across a broad range of industries and areas of expertise. The company provides business strategy and assessment services.