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OneSoft Solutions (TSXV:OSS) Gross Margin % : 74.82% (As of Mar. 2024)


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What is OneSoft Solutions Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. OneSoft Solutions's Gross Profit for the three months ended in Mar. 2024 was C$2.17 Mil. OneSoft Solutions's Revenue for the three months ended in Mar. 2024 was C$2.90 Mil. Therefore, OneSoft Solutions's Gross Margin % for the quarter that ended in Mar. 2024 was 74.82%.

Warning Sign:

OneSoft Solutions Inc gross margin has been in long-term decline. The average rate of decline per year is -3%.


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

TSXV:OSS' s Gross Margin % Range Over the Past 10 Years
Min: -7.47   Med: 74.4   Max: 90.55
Current: 76.23


During the past 13 years, the highest Gross Margin % of OneSoft Solutions was 90.55%. The lowest was -7.47%. And the median was 74.40%.

TSXV:OSS's Gross Margin % is ranked better than
83.95% of 2636 companies
in the Software industry
Industry Median: 41.84 vs TSXV:OSS: 76.23

OneSoft Solutions had a gross margin of 74.82% for the quarter that ended in Mar. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for OneSoft Solutions was -3.00% per year.


OneSoft Solutions Gross Margin % Historical Data

The historical data trend for OneSoft Solutions'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.

OneSoft Solutions Gross Margin % Chart

OneSoft Solutions Annual Data
Trend Feb14 Feb15 Feb16 Feb17 Feb18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 74.12 77.29 74.67 71.27 75.41

OneSoft Solutions 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 70.50 75.84 76.93 77.31 74.82

Competitive Comparison of OneSoft Solutions's Gross Margin %

For the Software - Application subindustry, OneSoft Solutions'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.


OneSoft Solutions's Gross Margin % Distribution in the Software Industry

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

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



OneSoft Solutions Gross Margin % Calculation

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

OneSoft Solutions'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 )
=7.8 / 10.392
=(Revenue - Cost of Goods Sold) / Revenue
=(10.392 - 2.555) / 10.392
=75.41 %

OneSoft Solutions'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 )
=2.2 / 2.899
=(Revenue - Cost of Goods Sold) / Revenue
=(2.899 - 0.73) / 2.899
=74.82 %

* 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.


OneSoft Solutions  (TSXV:OSS) 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

OneSoft Solutions had a gross margin of 74.82% 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.


OneSoft Solutions Gross Margin % Related Terms

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


OneSoft Solutions (TSXV:OSS) Business Description

Traded in Other Exchanges
Address
10230 Jasper Avenue, Suite 4227, Enterprise Square, Edmonton, AB, CAN, T5J 4P6
OneSoft Solutions Inc is a provider of software solutions for select markets, all of which are developed using Microsoft's new Cloud technologies. Its mission is to acquire, manage and build next-generation software businesses that will provide specialized, mission-critical cloud software solutions to address customer needs. It has developed software technology and products that have the capability to transition legacy, on-premise licensed software applications to operate on the Microsoft Azure Cloud Platform. It seeks opportunities to incorporate Data Science and Machine Learning, business intelligence and predictive analytics to create cost-efficient, subscription-based software-as-a-service solutions. The Company generates it's majority of the revenue from USA..
Executives
David Shong-tak Tam Senior Officer