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GigaMedia (GigaMedia) Gross Margin % : 58.05% (As of Dec. 2023)


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What is GigaMedia Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. GigaMedia's Gross Profit for the three months ended in Dec. 2023 was $0.51 Mil. GigaMedia's Revenue for the three months ended in Dec. 2023 was $0.87 Mil. Therefore, GigaMedia's Gross Margin % for the quarter that ended in Dec. 2023 was 58.05%.


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

GIGM' s Gross Margin % Range Over the Past 10 Years
Min: 13.29   Med: 53.88   Max: 58.19
Current: 57


During the past 13 years, the highest Gross Margin % of GigaMedia was 58.19%. The lowest was 13.29%. And the median was 53.88%.

GIGM's Gross Margin % is ranked worse than
54.23% of 520 companies
in the Interactive Media industry
Industry Median: 60.72 vs GIGM: 57.00

GigaMedia had a gross margin of 58.05% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for GigaMedia was 2.50% per year.


GigaMedia Gross Margin % Historical Data

The historical data trend for GigaMedia'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.

GigaMedia Gross Margin % Chart

GigaMedia Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 53.89 57.00 52.95 58.19 56.99

GigaMedia Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 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 Premium Member Only Premium Member Only Premium Member Only 56.77 59.77 55.22 54.44 58.05

Competitive Comparison of GigaMedia's Gross Margin %

For the Electronic Gaming & Multimedia subindustry, GigaMedia'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.


GigaMedia's Gross Margin % Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, GigaMedia's Gross Margin % distribution charts can be found below:

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



GigaMedia Gross Margin % Calculation

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

GigaMedia'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 )
=2.4 / 4.292
=(Revenue - Cost of Goods Sold) / Revenue
=(4.292 - 1.846) / 4.292
=56.99 %

GigaMedia'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 )
=0.5 / 0.87
=(Revenue - Cost of Goods Sold) / Revenue
=(0.87 - 0.365) / 0.87
=58.05 %

* 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.


GigaMedia  (NAS:GIGM) 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

GigaMedia had a gross margin of 58.05% 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.


GigaMedia Gross Margin % Related Terms

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


GigaMedia (GigaMedia) Business Description

Traded in Other Exchanges
Address
Section 2, Tiding Boulevard, Lane 407, 8th Floor, No. 22, Neihu District, Taipei, TWN, 114
GigaMedia Ltd is a publisher of online games. It has only one reportable segment, Digital Entertainment service. Digital Entertainment service business operates a portfolio of online games, mainly targeting online game players across Europe, Asia, including Greater China and Southeast Asia. The company's portfolio of online games includes predominantly PC-based, non-cash gambling or casino casual games, including MahJong and various card and table games. The company's product lines include MahJong, AkaSeka, Yume 100, Fun Vegas, and others. The company operates in Taiwan and Hong Kong.
Executives
Cheng-ming Huang director, officer: CEO 8F, NO.22, LANE 407, SEC. 2 TIDING BLVD., TAIPEI F5 114
Hwang Collin director 8F, NO. 22, LANE 407, SECTION 2, TIDING BLVD., TAIPEI F5 114
Criterion Capital Partners Master Fund, L.p. 10 percent owner STRATHVALE HOUSE-GROUND FLOOR, NORTH CHURCH STREET, GEORGE TOWN E9 00000
Sanjay Motwani other: N/A C/O SANSAR CAPITAL MANAGEMENT, L.L.C., 25 WEST 53RD STREET, NEW YORK NY 10019
Sansar Performance, L.p. other: N/A C/O SANSAR CAPITAL MANAGEMENT, L.L.C., 25 WEST 53RD STREET, NEW YORK NY 10019
Sansar Capital Master Fund, L.p. other: N/A C/O SANSAR CAPITAL MANAGEMENT, L.L.C., 25 WEST 53RD STREET, NEW YORK NY 10019
Sansar Capital Special Opportunity Master Fund, L.p. other: N/A 25 W 53RD STREET, 14TH FLOOR, NEW YORK NY 10019
Sansar Capital Management, L.l.c. other: N/A 25 W 53RD STREET, 14TH FLOOR, NEW YORK NY 10019

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