Q4 (TSX:QFOR) Gross Margin % : 68.68% (As of Sep. 2023)

View and export this data going back to 2021. Start your Free Trial

What is Q4 Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Q4's Gross Profit for the three months ended in Sep. 2023 was C$13.63 Mil. Q4's Revenue for the three months ended in Sep. 2023 was C$19.85 Mil. Therefore, Q4's Gross Margin % for the quarter that ended in Sep. 2023 was 68.68%.

The historical rank and industry rank for Q4's Gross Margin % or its related term are showing as below:

TSX:QFOR' s Gross Margin % Range Over the Past 10 Years
Min: 53.19 Med: 53.68 Max: 66.56
Current: 66.56

During the past 5 years, the highest Gross Margin % of Q4 was 66.56%. The lowest was 53.19%. And the median was 53.68%.

TSX:QFOR's Gross Margin % is not ranked
in the Software industry.
Industry Median: 41.67 vs TSX:QFOR: 66.56

Q4 had a gross margin of 68.68% for the quarter that ended in Sep. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Q4 was 0.00% per year.

Q4 Gross Margin % Historical Data

The historical data trend for Q4'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.

Q4 Gross Margin % Chart

Q4 Annual Data

Trend

Dec18

Dec19

Dec20

Dec21

Dec22

Gross Margin %

53.19

53.45

53.68

57.03

59.18

Q4 Quarterly Data
	Dec18	Dec19	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23
Gross Margin %	Get a 7-Day Free Trial											58.98	63.67	65.43	68.34	68.68

Competitive Comparison of Q4's Gross Margin %

For the Software - Application subindustry, Q4'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.

Q4's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Q4's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Q4's Gross Margin % falls into.

Q4 Gross Margin % Calculation

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

Q4's Gross Margin for the fiscal year that ended in Dec. 2022 is calculated as

Gross Margin % (A: Dec. 2022 )	=	Gross Profit (A: Dec. 2022 )	/	Revenue (A: Dec. 2022 )
	=	45.1	/	76.178
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(76.178 - 31.095)	/	76.178
	=	59.18 %

Q4's Gross Margin for the quarter that ended in Sep. 2023 is calculated as

Gross Margin % (Q: Sep. 2023 )	=	Gross Profit (Q: Sep. 2023 )	/	Revenue (Q: Sep. 2023 )
	=	13.6	/	19.851
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(19.851 - 6.217)	/	19.851
	=	68.68 %

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.

Q4 (TSX:QFOR) 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

Q4 had a gross margin of 68.68% for the quarter that ended in Sep. 2023 => 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.

Q4 Gross Margin % Related Terms

Thank you for viewing the detailed overview of Q4's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.

Q4 (TSX:QFOR) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Software » Q4 Inc (TSX:QFOR) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

I1F:Germany

Address

469-A King Street West, Toronto, ON, CAN, M5V 1K4

Website

https://www.q4inc.com

Q4 Inc is a provider of a capital markets communication software platform. It offers a broad suite of products to publicly listed companies, investment managers and investment banks along with a variety of workflows, including investor relations, corporate access, deal management and research. The company's cloud-based software platform of products provides corporate customers with critical technology infrastructure and data that may be used to support their investor relations teams through website, virtual events, CRM and analytics products. The group delivers services primarily over the internet on a subscription basis using the software-as-a-service (SaaS) model. It derives revenue from Canada, the U.S., Europe and Other countries, of which a majority of revenue is derived from the U.S.

Q4 (TSX:QFOR) Headlines

No Headlines