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Smartvalue Co (TSE:9417) Gross Margin % : 33.02% (As of Mar. 2024)


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What is Smartvalue Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Smartvalue Co's Gross Profit for the three months ended in Mar. 2024 was 円372 Mil. Smartvalue Co's Revenue for the three months ended in Mar. 2024 was 円1,126 Mil. Therefore, Smartvalue Co's Gross Margin % for the quarter that ended in Mar. 2024 was 33.02%.


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

TSE:9417' s Gross Margin % Range Over the Past 10 Years
Min: 19.24   Med: 28.17   Max: 33.82
Current: 28.51


During the past 10 years, the highest Gross Margin % of Smartvalue Co was 33.82%. The lowest was 19.24%. And the median was 28.17%.

TSE:9417's Gross Margin % is ranked worse than
67.64% of 2630 companies
in the Software industry
Industry Median: 41.72 vs TSE:9417: 28.51

Smartvalue Co had a gross margin of 33.02% for the quarter that ended in Mar. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Smartvalue Co was 2.40% per year.


Smartvalue Co Gross Margin % Historical Data

The historical data trend for Smartvalue 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.

* Premium members only.

Smartvalue Co Gross Margin % Chart

Smartvalue Co Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 28.45 28.06 19.24 33.82 33.16

Smartvalue Co 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 40.36 31.28 23.01 25.01 33.02

Competitive Comparison of Smartvalue Co's Gross Margin %

For the Software - Infrastructure subindustry, Smartvalue 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.


Smartvalue Co's Gross Margin % Distribution in the Software Industry

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

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



Smartvalue Co Gross Margin % Calculation

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

Smartvalue Co's Gross Margin for the fiscal year that ended in Jun. 2023 is calculated as

Gross Margin % (A: Jun. 2023 )=Gross Profit (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=1284.3 / 3873.348
=(Revenue - Cost of Goods Sold) / Revenue
=(3873.348 - 2589.025) / 3873.348
=33.16 %

Smartvalue Co'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 )
=371.7 / 1125.548
=(Revenue - Cost of Goods Sold) / Revenue
=(1125.548 - 753.867) / 1125.548
=33.02 %

* 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.


Smartvalue Co  (TSE:9417) 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

Smartvalue Co had a gross margin of 33.02% for the quarter that ended in Mar. 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.


Smartvalue Co Gross Margin % Related Terms

Thank you for viewing the detailed overview of Smartvalue Co's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Smartvalue Co (TSE:9417) Business Description

Traded in Other Exchanges
N/A
Address
2-3-2 Utsubo-Honcho, Naniwasuji-Honmachi MID building 4th Floor, Nishi-ku, Osaka-shi, Osaka, JPN, 550-0004
Smartvalue Co Ltd provides cloud and mobile solutions in Japan. Under the Cloud segment it offers information services to local governments and public institutions that contribute to meeting needs and addressing challenges in the areas of PR and public hearings, disaster preparedness, crime prevention, childcare support, tourism, and employment services; and under the Mobile solution it is engaged in the process of expanding telematics service, and also ensures safe operation and control of vehicles, into a mobility IoT platform business with broader applications. Geographically it operates through Japan.

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