DigitalOcean Holdings's gross profit for the
three
months ended in Sep. 2024 was $119.4 Mil. DigitalOcean Holdings's gross profit for the trailing twelve months (TTM) ended in Sep. 2024 was $455.3 Mil.
DigitalOcean Holdings Gross Profit Historical Data
The historical data trend for DigitalOcean Holdings's Gross Profit 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.
Competitive Comparison of DigitalOcean Holdings's Gross Profit
For the Software - Infrastructure subindustry, DigitalOcean Holdings's Gross Profit, along with its competitors' market caps and Gross Profit 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.
DigitalOcean Holdings's Gross Profit Distribution in the Software Industry
For the Software industry and Technology sector, DigitalOcean Holdings's Gross Profit distribution charts can be found below:
* The bar in red indicates where DigitalOcean Holdings's Gross Profit falls into.
DigitalOcean Holdings Gross Profit Calculation
Gross Profit is the different between the sale prices and the cost of buying or producing the goods.
DigitalOcean Holdings's Gross Profit for the fiscal year that ended in Dec. 2023 is calculated as
Gross Profit for the trailing twelve months (TTM) ended in Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $455.3 Mil.
Gross Profit is the numerator in the calculation of Gross Margin.
* 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.
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
DigitalOcean Holdings had a gross margin of 60.18% for the quarter that ended in Sep. 2024 => Durable competitive advantage
DigitalOcean Holdings Gross Profit Related Terms
Thank you for viewing the detailed overview of DigitalOcean Holdings's Gross Profit provided by GuruFocus.com. Please click on the following links to see related term pages.
DigitalOcean Holdings Inc is a cloud computing platform offering on-demand infrastructure and platform tools for developers, start-ups and small and medium-sized businesses. The customers use the platform for a wide range of cases, such as web and mobile applications, website hosting, e-commerce, media and gaming, personal web projects, and managed services, among many others. The group has a business presence in North America, Europe, Asia and Other countries.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
DOCN has been successfully added to your 