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Swift Networks Group (ASX:SW1) Gross Margin % : 36.00% (As of Dec. 2023)


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What is Swift Networks Group Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Swift Networks Group's Gross Profit for the six months ended in Dec. 2023 was A$3.40 Mil. Swift Networks Group's Revenue for the six months ended in Dec. 2023 was A$9.45 Mil. Therefore, Swift Networks Group's Gross Margin % for the quarter that ended in Dec. 2023 was 36.00%.

Warning Sign:

Swift Networks Group Ltd gross margin has been in long-term decline. The average rate of decline per year is -2.4%.


The historical rank and industry rank for Swift Networks Group's Gross Margin % or its related term are showing as below:

ASX:SW1' s Gross Margin % Range Over the Past 10 Years
Min: 1.71   Med: 40.1   Max: 49.34
Current: 38.36


During the past 13 years, the highest Gross Margin % of Swift Networks Group was 49.34%. The lowest was 1.71%. And the median was 40.10%.

ASX:SW1's Gross Margin % is ranked worse than
50.31% of 964 companies
in the Media - Diversified industry
Industry Median: 38.44 vs ASX:SW1: 38.36

Swift Networks Group had a gross margin of 36.00% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Swift Networks Group was -2.40% per year.


Swift Networks Group Gross Margin % Historical Data

The historical data trend for Swift Networks Group's Gross Margin % 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.

Swift Networks Group Gross Margin % Chart

Swift Networks Group Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 49.34 41.30 39.85 39.41 40.34

Swift Networks Group Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Gross Margin % 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 40.91 38.08 39.95 40.72 36.00

Competitive Comparison of Swift Networks Group's Gross Margin %

For the Entertainment subindustry, Swift Networks Group's Gross Margin %, along with its competitors' market caps and Gross Margin % 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.


Swift Networks Group's Gross Margin % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Swift Networks Group's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Swift Networks Group's Gross Margin % falls into.



Swift Networks Group Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Swift Networks Group's Gross Margin for the fiscal year that ended in Jun. 2023 is calculated as

Gross Margin % (A: Jun. 2023 )=Gross Profit (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=7.7 / 19.06
=(Revenue - Cost of Goods Sold) / Revenue
=(19.06 - 11.372) / 19.06
=40.34 %

Swift Networks Group'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 )
=3.4 / 9.451
=(Revenue - Cost of Goods Sold) / Revenue
=(9.451 - 6.049) / 9.451
=36.00 %

* 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.


Swift Networks Group  (ASX:SW1) Gross Margin % 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

Swift Networks Group had a gross margin of 36.00% for the quarter that ended in Dec. 2023 => Competition eroding margins


Be Aware

If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.


Swift Networks Group Gross Margin % Related Terms

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Swift Networks Group (ASX:SW1) Business Description

Traded in Other Exchanges
N/A
Address
1060 Hay Street, West Perth, Perth, WA, AUS, 6005
Swift Networks Group Ltd is a provision of content and communications on television screens for out-of-home environments. Its sector includes Mining and Resources, Aged Care, Retirement, and Lifestyle Government. It operates only one reporting segment in the digital entertainment and service sector.

Swift Networks Group (ASX:SW1) Headlines

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