Cloudflare's gross profit for the
three
months ended in Mar. 2026 was CHF456 Mil. Cloudflare's gross profit for the trailing twelve months (TTM) ended in Mar. 2026 was CHF1,707 Mil.
Gross Margin % is calculated as gross profit divided by its revenue. Cloudflare's gross profit for the
three
months ended in Mar. 2026 was CHF456 Mil. Cloudflare's Revenue for the
three
months ended in Mar. 2026 was CHF640 Mil. Therefore, Cloudflare's Gross Margin % for the quarter that ended in Mar. 2026 was 71.21%.
Cloudflare had a gross margin of 71.21% for the quarter that ended in Mar. 2026 => Durable competitive advantage
During the past 10 years, the highestGross Margin % of Cloudflare was 78.66%. The lowest was 71.74%. And the median was 76.94%.
Cloudflare (XSWX:NET) 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
Cloudflare had a gross margin of 71.21% for the quarter that ended in Mar. 2026 => Durable competitive advantage
Cloudflare Gross Profit Related Terms
Cloudflare Gross Profit Historical Data
* Premium members only.
The historical data trend for Cloudflare'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.
For the Software - Infrastructure subindustry, Cloudflare'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.
Cloudflare Gross Profit vs Software Industry
For the Software industry and Technology sector, Cloudflare's Gross Profit distribution charts can be found below:
* The bar in red indicates where Cloudflare's Gross Profit falls into.
Gross Profit for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was CHF1,707 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.
Cloudflare (XSWX:NET) has a Gross Profit of CHF1,707 Mil as of Mar. 2026. Gross Profit equals net sales less total cost of goods sold. View historical data on Cloudflare and its competitors.
Is Cloudflare's Gross Profit too high?
Cloudflare's current Gross Profit is CHF1,707 Mil. Overall, Cloudflare has a GF Score™ of 78/100, reflecting its overall financial health beyond just this single metric.
How does Cloudflare's Gross Profit compare to ?
Cloudflare's Gross Profit of CHF1,707 Mil can be compared against companies in the Software industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Profit for a Software company?
A good Gross Profit depends on the Software industry context. However, Gross Profit should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Profit mean?
A high Gross Profit can signal that a stock is expensive relative to its fundamentals. Gross Profit equals net sales less total cost of goods sold. View historical data on Cloudflare and its competitors. Cloudflare's current Gross Profit is CHF1,707 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cloudflare stock overvalued right now?
Cloudflare (XSWX:NET) has a current Gross Profit of CHF1,707 Mil. The stock's GF Value™ is CHF142.50, compared to a current price of CHF195.52 — trading 37.2% above its estimated fair value. The current Gross Profit is CHF1,707 Mil. Cloudflare's overall GF Score™ is 78/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Profit calculated?
Gross Profit is calculated from a company's financial statements. For Cloudflare (XSWX:NET), the current Gross Profit is CHF1,707 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Cloudflare (XSWX:NET) Overvalued in 2026?
Based on GuruFocus' analysis, Cloudflare stock appears to be overvalued.
The current stock price of CHF195.52 is trading 37.2% above its estimated GF Value™ of CHF142.50.
Key valuation signals for XSWX:NET:
Gross Profit: CHF1,707 Mil
GF Value™: CHF142.50 vs. price of CHF195.52 (37.2% above fair value)
No single metric tells the full story. See the XSWX:NET stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Cloudflare is a software company based in San Francisco, California, that offers security and web performance offerings by utilizing a distributed, serverless content delivery network, or CDN. The firm's edge computing platform, Workers, builds on this infrastructure by enabling clients to deploy and run code without the need to manage or maintain servers.
78GF Score
Get the complete analysis for XSWX:NET
Gross Profit is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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