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Alfa Financial Software Holdings (LSE:ALFA) Gross Profit : £63.7 Mil (TTM As of Dec. 2023)


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What is Alfa Financial Software Holdings Gross Profit?

Alfa Financial Software Holdings's gross profit for the six months ended in Dec. 2023 was £30.0 Mil. Alfa Financial Software Holdings's gross profit for the trailing twelve months (TTM) ended in Dec. 2023 was £63.7 Mil.

Gross Margin % is calculated as gross profit divided by its revenue. Alfa Financial Software Holdings's gross profit for the six months ended in Dec. 2023 was £30.0 Mil. Alfa Financial Software Holdings's Revenue for the six months ended in Dec. 2023 was £49.1 Mil. Therefore, Alfa Financial Software Holdings's Gross Margin % for the quarter that ended in Dec. 2023 was 61.10%.

Alfa Financial Software Holdings had a gross margin of 61.10% for the quarter that ended in Dec. 2023 => Durable competitive advantage

During the past 11 years, the highest Gross Margin % of Alfa Financial Software Holdings was 77.19%. The lowest was 62.45%. And the median was 73.58%.

Warning Sign:

Alfa Financial Software Holdings PLC gross margin has been in long-term decline. The average rate of decline per year is -3.5%.


Alfa Financial Software Holdings Gross Profit Historical Data

The historical data trend for Alfa Financial Software 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.

* Premium members only.

Alfa Financial Software Holdings Gross Profit Chart

Alfa Financial Software Holdings Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Profit
Get a 7-Day Free Trial Premium Member Only Premium Member Only 47.59 51.90 54.20 59.90 63.70

Alfa Financial Software Holdings Semi-Annual Data
Dec14 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Gross Profit 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 28.10 28.30 31.60 33.70 30.00

Competitive Comparison of Alfa Financial Software Holdings's Gross Profit

For the Software - Application subindustry, Alfa Financial Software 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.


Alfa Financial Software Holdings's Gross Profit Distribution in the Software Industry

For the Software industry and Technology sector, Alfa Financial Software Holdings's Gross Profit distribution charts can be found below:

* The bar in red indicates where Alfa Financial Software Holdings's Gross Profit falls into.



Alfa Financial Software Holdings Gross Profit Calculation

Gross Profit is the different between the sale prices and the cost of buying or producing the goods.

Alfa Financial Software Holdings's Gross Profit for the fiscal year that ended in Dec. 2023 is calculated as

Gross Profit (A: Dec. 2023 )=Revenue - Cost of Goods Sold
=102 - 38.3
=63.7

Alfa Financial Software Holdings's Gross Profit for the quarter that ended in Dec. 2023 is calculated as

Gross Profit (Q: Dec. 2023 )=Revenue - Cost of Goods Sold
=49.1 - 19.1
=30.0

Gross Profit for the trailing twelve months (TTM) ended in Dec. 2023 adds up the semi-annually data reported by the company within the most recent 12 months, which was £63.7 Mil.

Gross Profit is the numerator in the calculation of Gross Margin.

Alfa Financial Software Holdings's Gross Margin % for the quarter that ended in Dec. 2023 is calculated as

Gross Margin % (Q: Dec. 2023 )=Gross Profit (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=(Revenue - Cost of Goods Sold) / Revenue
=30.0 / 49.1
=61.10 %

* 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.


Alfa Financial Software Holdings  (LSE:ALFA) Gross Profit 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

Alfa Financial Software Holdings had a gross margin of 61.10% for the quarter that ended in Dec. 2023 => Durable competitive advantage


Alfa Financial Software Holdings Gross Profit Related Terms

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Alfa Financial Software Holdings (LSE:ALFA) Business Description

Traded in Other Exchanges
Address
1 Fore Street Avenue, Moor Place, London, GBR, EC2Y 9DT
Alfa Financial Software Holdings PLC is a Developer of software systems and services designed for the global asset and automotive finance industry. The company's technology platform supports both retail and corporate business for auto, equipment, wholesale, and dealer finance on a multijurisdictional basis, including leases/loans, originations, and servicing, enabling finance companies to find compelling solutions.

Alfa Financial Software Holdings (LSE:ALFA) Headlines

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