Synchro Food Co (TSE:3963) Gross Margin %: 54.71% (As of Mar. 2026) — 37% Below Median


TSE:3963 Synchro Food Co Ltd TSE:3963
56 GF Score
Price 円306.00
GF Value 円858.11
Valuation Possible Value Trap
! 7 Warning Signs
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What is Synchro Food Co Gross Margin %?

Synchro Food Co TSE:3963 +2.00% 56 Gross Margin % is 54.71% as of Mar. 2026, which is 37% below its 10-year median of 86.51. GuruFocus rates TSE:3963 with a GF Score™ of 56/100 and a GF Value™ of 円858.11 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 1,007 Business Services companies, Synchro Food Co ranks better than 79.15% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Synchro Food Co's Gross Profit for the six months ended in Mar. 2026 was 円2,018 Mil. Synchro Food Co's Revenue for the six months ended in Mar. 2026 was 円3,689 Mil. Therefore, Synchro Food Co's Gross Margin % for the quarter that ended in Mar. 2026 was 54.71%.

Warning Sign:

Synchro Food Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -4%.


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

TSE:3963' s Gross Margin % Range Over the Past 10 Years
Min: 63.17   Med: 86.51   Max: 91.04
Current: 63.17


During the past 11 years, the highest Gross Margin % of Synchro Food Co was 91.04%. The lowest was 63.17%. And the median was 86.51%.

TSE:3963's Gross Margin % is ranked better than
79.15% of 1007 companies
in the Business Services industry
Industry Median: 34.5 vs TSE:3963: 63.17

Synchro Food Co had a gross margin of 54.71% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Synchro Food Co was -4.00% per year.


Synchro Food Co  (TSE:3963) 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

Synchro Food Co had a gross margin of 54.71% for the quarter that ended in Mar. 2026 => 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.


Synchro Food Co Gross Margin % Related Terms


Synchro Food Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Synchro Food 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.

Synchro Food Co Gross Margin % Chart

Synchro Food Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 86.23 86.79 83.90 81.99 63.17

Synchro Food Co Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
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 84.35 83.87 80.12 80.02 54.71

TSE:3963 vs CTAS, CPRT, ULS: Gross Margin % Comparison

For the Specialty Business Services subindustry, Synchro Food 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.


Synchro Food Co Gross Margin % vs Business Services Industry

For the Business Services industry and Industrials sector, Synchro Food Co's Gross Margin % distribution charts can be found below:

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


TSE:3963
56GF Score
Synchro Food Co Ltd TSE:3963
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Synchro Food Co Gross Margin % Calculation

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

Synchro Food Co's Gross Margin for the fiscal year that ended in Mar. 2026 is calculated as

Gross Margin % (A: Mar. 2026 )=Gross Profit (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=3500.7 / 5541.834
=(Revenue - Cost of Goods Sold) / Revenue
=(5541.834 - 2041.114) / 5541.834
=63.17 %

Synchro Food Co's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=2018.2 / 3689.177
=(Revenue - Cost of Goods Sold) / Revenue
=(3689.177 - 1671) / 3689.177
=54.71 %

* 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 54.71% mean?
Synchro Food Co (TSE:3963) has a Gross Margin % of 54.71% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Synchro Food Co and its competitors. This is 37% below median its historical median of 86.51. Over the past decade, Synchro Food Co's Gross Margin % has ranged from 63.17 to 91.04. According to the industry distribution chart, Synchro Food Co ranks #210 out of 1007 companies in the Business Services industry, placing it in the top 20.9%.
Is Synchro Food Co's Gross Margin % too high?
Synchro Food Co's current Gross Margin % of 54.71% is 37% below median its 10-year median of 86.51. Over the past 10 years, this metric has ranged from a low of 63.17 to a high of 91.04. The Business Services industry median Gross Margin % is 34.50. Synchro Food Co's value of 54.71% is 58.6% above this industry median. Based on the distribution chart, Synchro Food Co ranks #210 out of 1007 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, Synchro Food Co has a GF Score™ of 56/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Synchro Food Co's Gross Margin % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Synchro Food Co ranks #210 out of 1007 companies for Gross Margin %. This places Synchro Food Co in the top 21% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 34.50. Synchro Food Co's value of 54.71% is 58.6% above this benchmark. Historically, Synchro Food Co's own Gross Margin % has ranged from 63.17 to 91.04 over the past decade. While the company's 10-year median is 86.51 vs. the industry median of 34.50, Synchro Food Co has consistently been above the industry average. 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 Business Services company?
The median Gross Margin % among Business Services companies is 34.50, based on 1,007 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. Synchro Food Co's current Gross Margin % of 54.71% is 58.6% 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 Synchro Food Co and its competitors. For the Business Services industry, the median Gross Margin % is 34.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Synchro Food Co's current Gross Margin % is 54.71%, which is 37% below median its own 10-year median of 86.51. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Synchro Food Co stock overvalued right now?
Based on GuruFocus' analysis, Synchro Food Co (TSE:3963) is currently considered Possible Value Trap. The stock's GF Value™ is 円858.11, compared to a current price of 円306.00 — trading 64.3% below its estimated fair value. The current Gross Margin % is 54.71%, which is 37% below median its 10-year median of 86.51 and 58.6% above the Business Services industry median of 34.50. Synchro Food Co's overall GF Score™ is 56/100 with 7 warning signs to review. 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 Synchro Food Co (TSE:3963), the current Gross Margin % is 54.71% as of Mar. 2026. 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.

Is Synchro Food Co (TSE:3963) Overvalued in 2026?

Based on GuruFocus' analysis, Synchro Food Co stock appears to be undervalued. The current stock price of 円306.00 is trading 64.3% below its estimated GF Value™ of 円858.11. GuruFocus considers Synchro Food Co to be Possible Value Trap.

Key valuation signals for TSE:3963:

  • Gross Margin %: 54.71% (37% below median its 10-year median of 86.51)
  • GF Value™: 円858.11 vs. price of 円306.00 (64.3% below fair value)
  • GF Score™: 56/100 with 7 warning signs
  • Industry Position: 58.6% above the Business Services median (#210 of 1007)

No single metric tells the full story. See the TSE:3963 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Synchro Food Co Business Description

Address 7th Floor, SouthOne Building, 1-7-8, Ebisu Minami, Shibuya-ku, Tokyo, JPN, 150-0022
Synchro Food Co Ltd provides services and information to help restaurant owners. It offers equipment, furniture, restaurant related job information website, matching restaurant owners with interior designer and restaurant opening information website.
56GF Score

Get the complete analysis for TSE:3963

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円306.00
Price
円858.11
GF Value