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Eutelsat Communications (Eutelsat Communications) Gross Margin % : 84.42% (As of Dec. 2023)


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What is Eutelsat Communications Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Eutelsat Communications's Gross Profit for the six months ended in Dec. 2023 was $527 Mil. Eutelsat Communications's Revenue for the six months ended in Dec. 2023 was $625 Mil. Therefore, Eutelsat Communications's Gross Margin % for the quarter that ended in Dec. 2023 was 84.42%.


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

EUTLF' s Gross Margin % Range Over the Past 10 Years
Min: 87.49   Med: 92.95   Max: 93.3
Current: 87.49


During the past 13 years, the highest Gross Margin % of Eutelsat Communications was 93.30%. The lowest was 87.49%. And the median was 92.95%.

EUTLF's Gross Margin % is ranked better than
99.18% of 2439 companies
in the Hardware industry
Industry Median: 24.34 vs EUTLF: 87.49

Eutelsat Communications had a gross margin of 84.42% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Eutelsat Communications was -0.50% per year.


Eutelsat Communications Gross Margin % Historical Data

The historical data trend for Eutelsat Communications'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.

Eutelsat Communications Gross Margin % Chart

Eutelsat Communications 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 93.14 92.98 92.33 91.91 90.87

Eutelsat Communications 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 92.38 91.44 91.09 90.64 84.42

Competitive Comparison of Eutelsat Communications's Gross Margin %

For the Communication Equipment subindustry, Eutelsat Communications'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.


Eutelsat Communications's Gross Margin % Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Eutelsat Communications's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Eutelsat Communications's Gross Margin % falls into.



Eutelsat Communications Gross Margin % Calculation

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

Eutelsat Communications'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 )
=1113.8 / 1225.677
=(Revenue - Cost of Goods Sold) / Revenue
=(1225.677 - 111.918) / 1225.677
=90.87 %

Eutelsat Communications'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 )
=527.3 / 624.537
=(Revenue - Cost of Goods Sold) / Revenue
=(624.537 - 97.274) / 624.537
=84.42 %

* 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.


Eutelsat Communications  (OTCPK:EUTLF) 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

Eutelsat Communications had a gross margin of 84.42% for the quarter that ended in Dec. 2023 => Durable competitive advantage


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.


Eutelsat Communications Gross Margin % Related Terms

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Eutelsat Communications (Eutelsat Communications) Business Description

Traded in Other Exchanges
Address
32, boulevard Gallieni, Issy-les-Moulineaux, Paris, FRA, 92130
Eutelsat Communications is a French commercial satellite provider with coverage spanning the European continent, the Middle East, Africa, India, and the Americas. It operates a fleet of over 36 satellites serving broadcasters, telecommunications operators, Internet service providers, and government agencies. These satellites are used for video broadcasting, news gathering, broadband services, and data connectivity solutions. Eutelsat generates revenue in Europe, the Americas, the Middle East and North Africa, and Asia.