GURUFOCUS.COM » STOCK LIST » Technology » Software » Hello Pal International Inc (XCNQ:HP) » Definitions » Gross Margin %

Hello Pal International (XCNQ:HP) Gross Margin % : 11.55% (As of Feb. 2023)


View and export this data going back to 1987. Start your Free Trial

What is Hello Pal International Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Hello Pal International's Gross Profit for the three months ended in Feb. 2023 was C$0.68 Mil. Hello Pal International's Revenue for the three months ended in Feb. 2023 was C$5.86 Mil. Therefore, Hello Pal International's Gross Margin % for the quarter that ended in Feb. 2023 was 11.55%.


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


XCNQ:HP's Gross Margin % is not ranked *
in the Software industry.
Industry Median: 41.79
* Ranked among companies with meaningful Gross Margin % only.

Hello Pal International had a gross margin of 11.55% for the quarter that ended in Feb. 2023 => No sustainable competitive advantage

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


Hello Pal International Gross Margin % Historical Data

The historical data trend for Hello Pal International'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.

Hello Pal International Gross Margin % Chart

Hello Pal International Annual Data
Trend Feb14 Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only - -8.95 10.99 10.45 15.01

Hello Pal International Quarterly Data
Feb18 May18 Aug18 Nov18 Feb19 May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 Aug22 Nov22 Feb23
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 21.45 2.90 16.72 18.21 11.55

Competitive Comparison of Hello Pal International's Gross Margin %

For the Software - Application subindustry, Hello Pal International'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.


Hello Pal International's Gross Margin % Distribution in the Software Industry

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

* The bar in red indicates where Hello Pal International's Gross Margin % falls into.



Hello Pal International Gross Margin % Calculation

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

Hello Pal International's Gross Margin for the fiscal year that ended in Feb. 2023 is calculated as

Gross Margin % (A: Feb. 2023 )=Gross Profit (A: Feb. 2023 ) / Revenue (A: Feb. 2023 )
=3.8 / 25.164
=(Revenue - Cost of Goods Sold) / Revenue
=(25.164 - 21.386) / 25.164
=15.01 %

Hello Pal International's Gross Margin for the quarter that ended in Feb. 2023 is calculated as


Gross Margin % (Q: Feb. 2023 )=Gross Profit (Q: Feb. 2023 ) / Revenue (Q: Feb. 2023 )
=0.7 / 5.859
=(Revenue - Cost of Goods Sold) / Revenue
=(5.859 - 5.182) / 5.859
=11.55 %

* 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.


Hello Pal International  (XCNQ:HP) 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

Hello Pal International had a gross margin of 11.55% for the quarter that ended in Feb. 2023 => No sustainable 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.


Hello Pal International Gross Margin % Related Terms

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


Hello Pal International (XCNQ:HP) Business Description

Traded in Other Exchanges
Address
200 - 550 Denman Street, Vancouver, BC, CAN, V6G 3H1
Hello Pal International Inc is a proprietary suite of mobile applications built on a user-friendly messaging interface that focuses on social interaction, language learning, and travel. It has been designed from the ground up to be easy to use and enables users the freedom to speak in their own language regardless of the other person's language they are speaking. The firm operates in two different reportable segments international live-streaming segment, which provides online live-streaming services. and Cryptocurrency mining segment, which provides cryptocurrency computing services to blockchain platforms, and the majority of its revenue comes from live streaming segments.