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Brisanet Participacoes (BSP:BRIT3) Gross Margin % : 30.29% (As of Dec. 2023)


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What is Brisanet Participacoes Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Brisanet Participacoes's Gross Profit for the three months ended in Dec. 2023 was R$78 Mil. Brisanet Participacoes's Revenue for the three months ended in Dec. 2023 was R$256 Mil. Therefore, Brisanet Participacoes's Gross Margin % for the quarter that ended in Dec. 2023 was 30.29%.

Warning Sign:

Brisanet Participacoes SA gross margin has been in long-term decline. The average rate of decline per year is -7.1%.


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

BSP:BRIT3' s Gross Margin % Range Over the Past 10 Years
Min: 37.08   Med: 47.12   Max: 55.66
Current: 42.45


During the past 6 years, the highest Gross Margin % of Brisanet Participacoes was 55.66%. The lowest was 37.08%. And the median was 47.12%.

BSP:BRIT3's Gross Margin % is ranked worse than
58.19% of 354 companies
in the Telecommunication Services industry
Industry Median: 48.97 vs BSP:BRIT3: 42.45

Brisanet Participacoes had a gross margin of 30.29% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Brisanet Participacoes was -7.10% per year.


Brisanet Participacoes Gross Margin % Historical Data

The historical data trend for Brisanet Participacoes'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.

Brisanet Participacoes Gross Margin % Chart

Brisanet Participacoes Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial 55.45 49.73 44.50 37.08 43.26

Brisanet Participacoes Quarterly Data
Dec18 Dec19 Mar20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 26.48 44.34 47.22 46.20 30.29

Competitive Comparison of Brisanet Participacoes's Gross Margin %

For the Telecom Services subindustry, Brisanet Participacoes'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.


Brisanet Participacoes's Gross Margin % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Brisanet Participacoes's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Brisanet Participacoes's Gross Margin % falls into.



Brisanet Participacoes Gross Margin % Calculation

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

Brisanet Participacoes's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )=Gross Profit (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=501.4 / 1158.923
=(Revenue - Cost of Goods Sold) / Revenue
=(1158.923 - 657.557) / 1158.923
=43.26 %

Brisanet Participacoes'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 )
=77.6 / 256.124
=(Revenue - Cost of Goods Sold) / Revenue
=(256.124 - 178.535) / 256.124
=30.29 %

* 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.


Brisanet Participacoes  (BSP:BRIT3) 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

Brisanet Participacoes had a gross margin of 30.29% 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.


Brisanet Participacoes Gross Margin % Related Terms

Thank you for viewing the detailed overview of Brisanet Participacoes's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Brisanet Participacoes (BSP:BRIT3) Business Description

Traded in Other Exchanges
N/A
Address
Highway CE 138 KM 14, s/n, Pereiro, CE, BRA, 63460-000
Brisanet Participacoes SA offers broadband, fixed telephony, cable TV, and mobile telephony services in Brazil. It includes the provision of telecommunication services such as MCS (Multimedia Communication Service);equipment rental; IT services; radio and optical fiber network installation services.

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