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Saison Technology Co (TSE:9640) Gross Margin % : 36.11% (As of Sep. 2024)


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What is Saison Technology Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Saison Technology Co's Gross Profit for the three months ended in Sep. 2024 was 円2,175 Mil. Saison Technology Co's Revenue for the three months ended in Sep. 2024 was 円6,022 Mil. Therefore, Saison Technology Co's Gross Margin % for the quarter that ended in Sep. 2024 was 36.11%.

Warning Sign:

Saison Technology Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -2.7%.


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

TSE:9640' s Gross Margin % Range Over the Past 10 Years
Min: 1.69   Med: 35.68   Max: 43.16
Current: 35.34


During the past 13 years, the highest Gross Margin % of Saison Technology Co was 43.16%. The lowest was 1.69%. And the median was 35.68%.

TSE:9640's Gross Margin % is ranked worse than
58.02% of 2618 companies
in the Software industry
Industry Median: 41.435 vs TSE:9640: 35.34

Saison Technology Co had a gross margin of 36.11% for the quarter that ended in Sep. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Saison Technology Co was -2.70% per year.


Saison Technology Co Gross Margin % Historical Data

The historical data trend for Saison Technology 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.

Saison Technology Co Gross Margin % Chart

Saison Technology Co Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 39.45 42.35 43.16 38.69 30.56

Saison Technology Co Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 17.32 38.31 31.31 35.69 36.11

Competitive Comparison of Saison Technology Co's Gross Margin %

For the Information Technology Services subindustry, Saison Technology 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.


Saison Technology Co's Gross Margin % Distribution in the Software Industry

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

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



Saison Technology Co Gross Margin % Calculation

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

Saison Technology Co's Gross Margin for the fiscal year that ended in Mar. 2024 is calculated as

Gross Margin % (A: Mar. 2024 )=Gross Profit (A: Mar. 2024 ) / Revenue (A: Mar. 2024 )
=7292.7 / 23864.278
=(Revenue - Cost of Goods Sold) / Revenue
=(23864.278 - 16571.596) / 23864.278
=30.56 %

Saison Technology Co's Gross Margin for the quarter that ended in Sep. 2024 is calculated as


Gross Margin % (Q: Sep. 2024 )=Gross Profit (Q: Sep. 2024 ) / Revenue (Q: Sep. 2024 )
=2174.5 / 6022.18
=(Revenue - Cost of Goods Sold) / Revenue
=(6022.18 - 3847.64) / 6022.18
=36.11 %

* 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.


Saison Technology Co  (TSE:9640) 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

Saison Technology Co had a gross margin of 36.11% for the quarter that ended in Sep. 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.


Saison Technology Co Gross Margin % Related Terms

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Saison Technology Co Business Description

Traded in Other Exchanges
N/A
Address
1-8-1 Akasaka, Minato-ku, 19th Floor, Akasaka Intercity AIR, Tokyo, JPN, 107-0052
Saison Technology Co Ltd is engaged in the Software package business, system development business, and operation business. The company is also involved in software package business. Its services include Service Platform Configuration/Operation, Multi-cloud Monitoring Service, Data Platform Business, Retail IT Service, and Financial IT Service.

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