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Software Circle (LSE:SFT) Gross Profit : £8.79 Mil (TTM As of Sep. 2023)


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What is Software Circle Gross Profit?

Software Circle's gross profit for the six months ended in Sep. 2023 was £5.07 Mil. Software Circle's gross profit for the trailing twelve months (TTM) ended in Sep. 2023 was £8.79 Mil.

Gross Margin % is calculated as gross profit divided by its revenue. Software Circle's gross profit for the six months ended in Sep. 2023 was £5.07 Mil. Software Circle's Revenue for the six months ended in Sep. 2023 was £8.25 Mil. Therefore, Software Circle's Gross Margin % for the quarter that ended in Sep. 2023 was 61.43%.

Software Circle had a gross margin of 61.43% for the quarter that ended in Sep. 2023 => Durable competitive advantage

During the past 13 years, the highest Gross Margin % of Software Circle was 70.80%. The lowest was 39.69%. And the median was 54.81%.

Warning Sign:

Software Circle Plc gross margin has been in long-term decline. The average rate of decline per year is -4.7%.


Software Circle Gross Profit Historical Data

The historical data trend for Software Circle'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.

Software Circle Gross Profit Chart

Software Circle Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Profit
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.55 7.98 3.38 3.54 5.75

Software Circle Semi-Annual Data
Mar14 Sep14 Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
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 1.83 1.71 2.02 3.73 5.07

Competitive Comparison of Software Circle's Gross Profit

For the Specialty Business Services subindustry, Software Circle'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.


Software Circle's Gross Profit Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Software Circle's Gross Profit distribution charts can be found below:

* The bar in red indicates where Software Circle's Gross Profit falls into.



Software Circle Gross Profit Calculation

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

Software Circle's Gross Profit for the fiscal year that ended in Mar. 2023 is calculated as

Gross Profit (A: Mar. 2023 )=Revenue - Cost of Goods Sold
=11.677 - 5.927
=5.75

Software Circle's Gross Profit for the quarter that ended in Sep. 2023 is calculated as

Gross Profit (Q: Sep. 2023 )=Revenue - Cost of Goods Sold
=8.247 - 3.181
=5.07

Gross Profit for the trailing twelve months (TTM) ended in Sep. 2023 adds up the semi-annually data reported by the company within the most recent 12 months, which was £8.79 Mil.

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

Software Circle's Gross Margin % for the quarter that ended in Sep. 2023 is calculated as

Gross Margin % (Q: Sep. 2023 )=Gross Profit (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=(Revenue - Cost of Goods Sold) / Revenue
=5.07 / 8.247
=61.43 %

* 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.


Software Circle  (LSE:SFT) 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

Software Circle had a gross margin of 61.43% for the quarter that ended in Sep. 2023 => Durable competitive advantage


Software Circle Gross Profit Related Terms

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Software Circle (LSE:SFT) Business Description

Traded in Other Exchanges
N/A
Address
Third Avenue, The Village, Trafford Park, Manchester, GBR, M17 1FG
Software Circle Plc is a UK-based company who is an acquirer of great vertical market software businesses. The company operates complex logistics, a SaaS platform, and brands that sell print and web to business customers. The segmental analysis by nature of service includes license fees, company-owned studio revenue, brand partner print, and online sales plus trade print. Some of its brands include Nettl, watermark, and topfloor. Geographically it has its business across the region of the UK and Ireland, Europe, and others of which the UK and Ireland's region accounts for a majority of the revenue.

Software Circle (LSE:SFT) Headlines

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