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Planet Payment (LSE:PPT) Gross Profit : £25.08 Mil (TTM As of Sep. 2017)


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What is Planet Payment Gross Profit?

Planet Payment's gross profit for the three months ended in Sep. 2017 was £6.31 Mil. Planet Payment's gross profit for the trailing twelve months (TTM) ended in Sep. 2017 was £25.08 Mil.

Gross Margin % is calculated as gross profit divided by its revenue. Planet Payment's gross profit for the three months ended in Sep. 2017 was £6.31 Mil. Planet Payment's Revenue for the three months ended in Sep. 2017 was £10.35 Mil. Therefore, Planet Payment's Gross Margin % for the quarter that ended in Sep. 2017 was 60.92%.

Planet Payment had a gross margin of 60.92% for the quarter that ended in Sep. 2017 => Durable competitive advantage

During the past 12 years, the highest Gross Margin % of Planet Payment was 60.30%. The lowest was 31.71%. And the median was 48.71%.


Planet Payment Gross Profit Historical Data

The historical data trend for Planet Payment'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.

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Planet Payment Gross Profit Chart

Planet Payment Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
Gross Profit
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.39 13.59 15.01 18.07 24.98

Planet Payment Quarterly Data
Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17
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 Premium Member Only Premium Member Only 6.06 7.12 6.01 5.64 6.31

Competitive Comparison of Planet Payment's Gross Profit

For the Software - Infrastructure subindustry, Planet Payment'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.


Planet Payment's Gross Profit Distribution in the Software Industry

For the Software industry and Technology sector, Planet Payment's Gross Profit distribution charts can be found below:

* The bar in red indicates where Planet Payment's Gross Profit falls into.



Planet Payment Gross Profit Calculation

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

Planet Payment's Gross Profit for the fiscal year that ended in Dec. 2016 is calculated as

Gross Profit (A: Dec. 2016 )=Revenue - Cost of Goods Sold
=43.524 - 18.544
=24.98

Planet Payment's Gross Profit for the quarter that ended in Sep. 2017 is calculated as

Gross Profit (Q: Sep. 2017 )=Revenue - Cost of Goods Sold
=10.354 - 4.046
=6.31

Gross Profit for the trailing twelve months (TTM) ended in Sep. 2017 adds up the quarterly data reported by the company within the most recent 12 months, which was £25.08 Mil.

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

Planet Payment's Gross Margin % for the quarter that ended in Sep. 2017 is calculated as

Gross Margin % (Q: Sep. 2017 )=Gross Profit (Q: Sep. 2017 ) / Revenue (Q: Sep. 2017 )
=(Revenue - Cost of Goods Sold) / Revenue
=6.31 / 10.354
=60.92 %

* 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.


Planet Payment  (LSE:PPT) 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

Planet Payment had a gross margin of 60.92% for the quarter that ended in Sep. 2017 => Durable competitive advantage


Planet Payment Gross Profit Related Terms

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Planet Payment (LSE:PPT) Business Description

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Planet Payment Inc is a provider of international payment and transaction processing and multi-currency processing services. It organizes its business operations through two segments: Multi Currency Processing Services and Payment Processing Services. Its service portfolio consists of payment processing, multi-currency processing, gateway, data analytics, and commercial transaction services. The company provides its services across the Asia-Pacific region, the Americas, the Middle East, Africa and Europe. It generates the majority of its revenue from Multi Currency Processing Services segment.