Inbound Tech (TSE:7031) Gross Margin %: 15.26% (As of Mar. 2026) — 35% Below Median

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TSE:7031 Inbound Tech Inc TSE:7031
67 GF Score
Price 円753.00
GF Value 円693.40
Valuation Fairly Valued
! 5 Warning Signs
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What is Inbound Tech Gross Margin %?

Inbound Tech TSE:7031 +15.31% 67 Gross Margin % is 15.26% as of Mar. 2026, which is 35% below its 10-year median of 23.32. GuruFocus rates TSE:7031 with a GF Score™ of 67/100 and a GF Value™ of 円693.40 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,008 Business Services companies, Inbound Tech ranks worse than 83.53% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Inbound Tech's Gross Profit for the six months ended in Mar. 2026 was 円159 Mil. Inbound Tech's Revenue for the six months ended in Mar. 2026 was 円1,041 Mil. Therefore, Inbound Tech's Gross Margin % for the quarter that ended in Mar. 2026 was 15.26%.

Warning Sign:

Inbound Tech Inc gross margin has been in long-term decline. The average rate of decline per year is -7.7%.


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

TSE:7031' s Gross Margin % Range Over the Past 10 Years
Min: 8.2   Med: 23.32   Max: 29.2
Current: 16.09


During the past 8 years, the highest Gross Margin % of Inbound Tech was 29.20%. The lowest was 8.20%. And the median was 23.32%.

TSE:7031's Gross Margin % is ranked worse than
83.53% of 1008 companies
in the Business Services industry
Industry Median: 34.515 vs TSE:7031: 16.09

Inbound Tech had a gross margin of 15.26% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Inbound Tech was -7.70% per year.


Inbound Tech  (TSE:7031) 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

Inbound Tech had a gross margin of 15.26% for the quarter that ended in Mar. 2026 => 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.


Inbound Tech Gross Margin % Related Terms


Inbound Tech Gross Margin % Historical Data

* Premium members only.

The historical data trend for Inbound Tech'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.

Inbound Tech Gross Margin % Chart

Inbound Tech Annual Data
Trend Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial 24.16 29.20 26.85 22.48 16.09

Inbound Tech Semi-Annual Data
Mar19 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 27.92 22.19 22.82 16.87 15.26

TSE:7031 vs CTAS, CPRT, ULS: Gross Margin % Comparison

For the Specialty Business Services subindustry, Inbound Tech'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.


Inbound Tech Gross Margin % vs Business Services Industry

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

* The bar in red indicates where Inbound Tech's Gross Margin % falls into.


TSE:7031
67GF Score
Inbound Tech Inc TSE:7031
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Inbound Tech Gross Margin % Calculation

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

Inbound Tech'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 )
=343.3 / 2133.609
=(Revenue - Cost of Goods Sold) / Revenue
=(2133.609 - 1790.346) / 2133.609
=16.09 %

Inbound Tech'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 )
=159 / 1041.384
=(Revenue - Cost of Goods Sold) / Revenue
=(1041.384 - 882.425) / 1041.384
=15.26 %

* 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 15.26% mean?
Inbound Tech (TSE:7031) has a Gross Margin % of 15.26% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Inbound Tech and its competitors. This is 35% below median its historical median of 23.32. Over the past decade, Inbound Tech's Gross Margin % has ranged from 8.20 to 29.20. According to the industry distribution chart, Inbound Tech ranks #842 out of 1008 companies in the Business Services industry, placing it in the top 83.5%.
Is Inbound Tech's Gross Margin % too high?
Inbound Tech's current Gross Margin % of 15.26% is 35% below median its 10-year median of 23.32. Over the past 10 years, this metric has ranged from a low of 8.20 to a high of 29.20. The Business Services industry median Gross Margin % is 34.52. Inbound Tech's value of 15.26% is 55.8% below this industry median. Based on the distribution chart, Inbound Tech ranks #842 out of 1008 companies in the Business Services industry, which is in the bottom quartile relative to peers. Overall, Inbound Tech has a GF Score™ of 67/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Inbound Tech's Gross Margin % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Inbound Tech ranks #842 out of 1008 companies for Gross Margin %. This places Inbound Tech in the lower half of its industry. The industry median Gross Margin % is 34.52. Inbound Tech's value of 15.26% is 55.8% below this benchmark. Historically, Inbound Tech's own Gross Margin % has ranged from 8.20 to 29.20 over the past decade. While the company's 10-year median is 23.32 vs. the industry median of 34.52, Inbound Tech has consistently been below 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 34.52, based on 1,008 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. Inbound Tech's current Gross Margin % of 15.26% is 55.8% below 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 Inbound Tech and its competitors. For the Business Services industry, the median Gross Margin % is 34.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Inbound Tech's current Gross Margin % is 15.26%, which is 35% below median its own 10-year median of 23.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Inbound Tech stock overvalued right now?
Based on GuruFocus' analysis, Inbound Tech (TSE:7031) is currently considered Fairly Valued. The stock's GF Value™ is 円693.40, compared to a current price of 円753.00 — trading 8.6% above its estimated fair value. The current Gross Margin % is 15.26%, which is 35% below median its 10-year median of 23.32 and 55.8% below the Business Services industry median of 34.52. Inbound Tech's overall GF Score™ is 67/100 with 5 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 Inbound Tech (TSE:7031), the current Gross Margin % is 15.26% 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 Inbound Tech (TSE:7031) Overvalued in 2026?

Based on GuruFocus' analysis, Inbound Tech stock appears to be overvalued. The current stock price of 円753.00 is trading 8.6% above its estimated GF Value™ of 円693.40. GuruFocus considers Inbound Tech to be Fairly Valued.

Key valuation signals for TSE:7031:

  • Gross Margin %: 15.26% (35% below median its 10-year median of 23.32)
  • GF Value™: 円693.40 vs. price of 円753.00 (8.6% above fair value)
  • GF Score™: 67/100 with 5 warning signs
  • Industry Position: 55.8% below the Business Services median (#842 of 1008)

No single metric tells the full story. See the TSE:7031 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Inbound Tech Business Description

Address 1-8-1 Shinjuku, Shinjuku-ku, Tokyo, JPN, 160-0022
Inbound Tech Inc provides business services including using multi-functional and flexible multilingual and interpretation solution using advanced IT technology Introduction of various service lineups.
67GF Score

Get the complete analysis for TSE:7031

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

円753.00
Price
円693.40
GF Value