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World Wireless Communications (World Wireless Communications) Gross Margin % : 47.59% (As of Dec. 2002)


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What is World Wireless Communications Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. World Wireless Communications's Gross Profit for the three months ended in Dec. 2002 was $0.07 Mil. World Wireless Communications's Revenue for the three months ended in Dec. 2002 was $0.15 Mil. Therefore, World Wireless Communications's Gross Margin % for the quarter that ended in Dec. 2002 was 47.59%.


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


WWRL's Gross Margin % is not ranked *
in the Telecommunication Services industry.
Industry Median: 49.84
* Ranked among companies with meaningful Gross Margin % only.

World Wireless Communications had a gross margin of 47.59% for the quarter that ended in Dec. 2002 => Durable competitive advantage

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


World Wireless Communications Gross Margin % Historical Data

The historical data trend for World Wireless Communications'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.

World Wireless Communications Gross Margin % Chart

World Wireless Communications Annual Data
Trend Dec99 Dec00 Dec01 Dec02
Gross Margin %
42.46 29.21 15.30 53.61

World Wireless Communications Quarterly Data
Mar99 Jun99 Sep99 Dec99 Mar00 Jun00 Sep00 Dec00 Mar01 Jun01 Sep01 Dec01 Mar02 Jun02 Sep02 Dec02
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 -9.52 58.62 63.49 36.30 47.59

Competitive Comparison of World Wireless Communications's Gross Margin %

For the Telecom Services subindustry, World Wireless Communications'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.


World Wireless Communications's Gross Margin % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, World Wireless Communications's Gross Margin % distribution charts can be found below:

* The bar in red indicates where World Wireless Communications's Gross Margin % falls into.



World Wireless Communications Gross Margin % Calculation

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

World Wireless Communications's Gross Margin for the fiscal year that ended in Dec. 2002 is calculated as

Gross Margin % (A: Dec. 2002 )=Gross Profit (A: Dec. 2002 ) / Revenue (A: Dec. 2002 )
=0.4 / 0.735
=(Revenue - Cost of Goods Sold) / Revenue
=(0.735 - 0.341) / 0.735
=53.61 %

World Wireless Communications's Gross Margin for the quarter that ended in Dec. 2002 is calculated as


Gross Margin % (Q: Dec. 2002 )=Gross Profit (Q: Dec. 2002 ) / Revenue (Q: Dec. 2002 )
=0.1 / 0.145
=(Revenue - Cost of Goods Sold) / Revenue
=(0.145 - 0.076) / 0.145
=47.59 %

* 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.


World Wireless Communications  (OTCPK:WWRL) 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

World Wireless Communications had a gross margin of 47.59% for the quarter that ended in Dec. 2002 => 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.


World Wireless Communications Gross Margin % Related Terms

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World Wireless Communications (World Wireless Communications) Business Description

Traded in Other Exchanges
N/A
Address
5670 Greenwood Plaza Blvd., Penthouse, Greenwood Village, CO, USA, 80111
World Wireless Communications Inc is a telecom service provider in the United States. The firm is engaged as a developer of wired and wireless telemetry and remote control systems.
Executives
Marty Steinberg 10 percent owner 1111 BRICKELL AVENUE SUITE 2500, MIAMI FL 33131

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