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GMO Financial Holdings (TSE:7177) Gross Margin % : 93.07% (As of Mar. 2024)


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What is GMO Financial Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. GMO Financial Holdings's Gross Profit for the three months ended in Mar. 2024 was 円11,986 Mil. GMO Financial Holdings's Revenue for the three months ended in Mar. 2024 was 円12,879 Mil. Therefore, GMO Financial Holdings's Gross Margin % for the quarter that ended in Mar. 2024 was 93.07%.


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

TSE:7177' s Gross Margin % Range Over the Past 10 Years
Min: 91.52   Med: 94.34   Max: 95.42
Current: 93.18


During the past 13 years, the highest Gross Margin % of GMO Financial Holdings was 95.42%. The lowest was 91.52%. And the median was 94.34%.

TSE:7177's Gross Margin % is ranked better than
89.75% of 605 companies
in the Capital Markets industry
Industry Median: 48.7 vs TSE:7177: 93.18

GMO Financial Holdings had a gross margin of 93.07% for the quarter that ended in Mar. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for GMO Financial Holdings was 0.00% per year.


GMO Financial Holdings Gross Margin % Historical Data

The historical data trend for GMO Financial Holdings'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.

GMO Financial Holdings Gross Margin % Chart

GMO Financial Holdings Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 93.28 94.39 95.42 94.31 93.55

GMO Financial Holdings Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 94.48 93.66 92.48 93.39 93.07

Competitive Comparison of GMO Financial Holdings's Gross Margin %

For the Capital Markets subindustry, GMO Financial Holdings'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.


GMO Financial Holdings's Gross Margin % Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, GMO Financial Holdings's Gross Margin % distribution charts can be found below:

* The bar in red indicates where GMO Financial Holdings's Gross Margin % falls into.



GMO Financial Holdings Gross Margin % Calculation

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

GMO Financial Holdings's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )=Gross Profit (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=48113 / 51430
=(Revenue - Cost of Goods Sold) / Revenue
=(51430 - 3317) / 51430
=93.55 %

GMO Financial Holdings's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=11986 / 12879
=(Revenue - Cost of Goods Sold) / Revenue
=(12879 - 893) / 12879
=93.07 %

* 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.


GMO Financial Holdings  (TSE:7177) 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

GMO Financial Holdings had a gross margin of 93.07% for the quarter that ended in Mar. 2024 => 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.


GMO Financial Holdings Gross Margin % Related Terms

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GMO Financial Holdings (TSE:7177) Business Description

Traded in Other Exchanges
N/A
Address
1-2-3, Dogenzaka, Shibuya Fukuras, Shibuya-ku, Tokyo, JPN, 150-0043
GMO Financial Holdings Inc is a Japan-based holding company that is principally engaged in providing financial product trading services in Japan and overseas markets. The company operates through various subsidiaries, such as GMO Click Securities and FX Prime from GMO Corp. in Japan; and GMO-Z.com Forex HK Limited, GMO-Z.com Bullion HK Limited, and GMO-Z.com Trade UK Limited in Hong Kong and the United Kingdom. Through the above subsidiaries, the company is involved in activities including foreign exchange trading, bullion trading, CFD trading, and others.

GMO Financial Holdings (TSE:7177) Headlines

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