Value Creation Co (TSE:9238) Gross Margin % : 31.65% (As of Aug. 2024)

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What is Value Creation Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Value Creation Co's Gross Profit for the three months ended in Aug. 2024 was 円272 Mil. Value Creation Co's Revenue for the three months ended in Aug. 2024 was 円859 Mil. Therefore, Value Creation Co's Gross Margin % for the quarter that ended in Aug. 2024 was 31.65%.

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

TSE:9238' s Gross Margin % Range Over the Past 10 Years
Min: 25.99 Med: 31.45 Max: 33.89
Current: 32.19

During the past 3 years, the highest Gross Margin % of Value Creation Co was 33.89%. The lowest was 25.99%. And the median was 31.45%.

TSE:9238's Gross Margin % is ranked worse than
59.57% of 967 companies
in the Media - Diversified industry
Industry Median: 39.33 vs TSE:9238: 32.19

Value Creation Co had a gross margin of 31.65% for the quarter that ended in Aug. 2024 => Competition eroding margins

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

Value Creation Co Gross Margin % Historical Data

The historical data trend for Value Creation 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.

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Value Creation Co Gross Margin % Chart

Value Creation Co Annual Data

Trend

Feb22

Feb23

Feb24

Gross Margin %

25.99

31.45

33.89

Value Creation Co Quarterly Data
	Feb22	Feb23	Aug23	Nov23	Feb24	May24	Aug24
Gross Margin %	Get a 7-Day Free Trial			-	35.95	31.00	30.82	31.65

Competitive Comparison of Value Creation Co's Gross Margin %

For the Advertising Agencies subindustry, Value Creation 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.

Value Creation Co's Gross Margin % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Value Creation Co's Gross Margin % distribution charts can be found below:

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

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Value Creation Co Gross Margin % Calculation

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

Value Creation Co's Gross Margin for the fiscal year that ended in Feb. 2024 is calculated as

Gross Margin % (A: Feb. 2024 )	=	Gross Profit (A: Feb. 2024 )	/	Revenue (A: Feb. 2024 )
	=	999.1	/	2948.333
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(2948.333 - 1949.201)	/	2948.333
	=	33.89 %

Value Creation Co's Gross Margin for the quarter that ended in Aug. 2024 is calculated as

Gross Margin % (Q: Aug. 2024 )	=	Gross Profit (Q: Aug. 2024 )	/	Revenue (Q: Aug. 2024 )
	=	272	/	859.469
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(859.469 - 587.453)	/	859.469
	=	31.65 %

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.

Value Creation Co (TSE:9238) 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

Value Creation Co had a gross margin of 31.65% for the quarter that ended in Aug. 2024 => Competition eroding margins

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.

Value Creation Co Gross Margin % Related Terms

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Value Creation Co Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Communication Services » Media - Diversified » Value Creation Co Ltd (TSE:9238) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

N/A

Address

1-21-10 Ebisu, Ebisu Assist 4th floor, Shibuya-ku, Tokyo, JPN, 150-0013

Website

https://www.value-creation.jp

Value Creation Co Ltd is a data marketing business that proposes multifaceted solutions in the web promotion field, with the primary objective of its customers being to maximize the value and profits of their companies. It is engaged in Marketing DX, Digital media, and Real estate DX business.

Value Creation Co Headlines

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