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Gen Digital (Gen Digital) Gross Margin %

: 80.86% (As of Dec. 2023)
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Gross Margin % is calculated as gross profit divided by its revenue. Gen Digital's Gross Profit for the three months ended in Dec. 2023 was $769 Mil. Gen Digital's Revenue for the three months ended in Dec. 2023 was $951 Mil. Therefore, Gen Digital's Gross Margin % for the quarter that ended in Dec. 2023 was 80.86%.


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

GEN' s Gross Margin % Range Over the Past 10 Years
Min: 78.78   Med: 82.13   Max: 85.81
Current: 80.72


During the past 13 years, the highest Gross Margin % of Gen Digital was 85.81%. The lowest was 78.78%. And the median was 82.13%.

GEN's Gross Margin % is ranked better than
87.57% of 2630 companies
in the Software industry
Industry Median: 41.71 vs GEN: 80.72

Gen Digital had a gross margin of 80.86% for the quarter that ended in Dec. 2023 => Durable competitive advantage

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


Gen Digital Gross Margin % Historical Data

The historical data trend for Gen Digital'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.

Gen Digital Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 81.47 84.22 85.81 85.41 82.35

Gen Digital Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Gross Margin % 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 Premium Member Only Premium Member Only Premium Member Only 80.98 79.94 81.08 81.01 80.86

Competitive Comparison

For the Software - Infrastructure subindustry, Gen Digital'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.


Gen Digital Gross Margin % Distribution

For the Software industry and Technology sector, Gen Digital's Gross Margin % distribution charts can be found below:

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



Gen Digital Gross Margin % Calculation

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

Gen Digital's Gross Margin for the fiscal year that ended in Mar. 2023 is calculated as

Gross Margin % (A: Mar. 2023 )=Gross Profit (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=2749 / 3338
=(Revenue - Cost of Goods Sold) / Revenue
=(3338 - 589) / 3338
=82.35 %

Gen Digital'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 )
=769 / 951
=(Revenue - Cost of Goods Sold) / Revenue
=(951 - 182) / 951
=80.86 %

* 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.


Gen Digital  (NAS:GEN) 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

Gen Digital had a gross margin of 80.86% 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.


Gen Digital Gross Margin % Related Terms

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


Gen Digital (Gen Digital) Business Description

Traded in Other Exchanges
Address
60 E. Rio Salado Parkway, Suite 1000, Tempe, AZ, USA, 85281
Gen is a cybersecurity pure-play that offers security, identity protection, and privacy solutions to individual consumers. The firm's cyber safety offerings, via brands such as Norton, Avast, and LifeLock, have long maintained their positions as some of the most recognizable consumer-focused security and identity-protection products.
Executives
Ondrej Vlcek officer: President 110 HIGH HOLBORN, LONDON X0 WC1V 6JS
Natalie Marie Derse officer: CFO 60 E RIO SALADO PARKWAY, SUITE 1000, TEMPE AZ 85281
Pavel Baudis director 110 HIGH HOLBORN, LONDON X0 WC1V 6JS
Peter A Feld director 201 E LAS OLAS BOULEVARD, SUITE 1000, FORT LAUDERDALE FL 33301
Emily Heath director 60 E RIO SALADO PARKWAY, SUITE 1000, TEMPE AZ 85281
Sherrese M Smith director C/O CABLE ONE, INC., 210 E EARLL DRIVE, PHOENIX AZ 85012
Matthew Charles Brown officer: VP, Finance & CAO 350 ELLIS STREET, MOUNTAIN VIEW CA 94043
Samir Kapuria officer: EVP, Cyber Security Services 350 ELLIS STREET, MOUNTAIN VIEW CA 94043
Eric Brandt director C/O DENTSPLY SIRONA INC, 13320 BALLANTYNE CORPORATE PLACE, CHARLOTTE NC 28277
Bryan Seuk Ko officer: EVP, General Counsel and Secre 80 E RIO SALADO PARKWAY, SUITE 1000, TEMPE AZ 85281
Nora Denzel director C/O OVERLAND STORAGE, INC., 4820 OVERLAND AVENUE, SAN DIEGO CA 92123
Slp Iv Seal Ii Gp, L.l.c. director C/O SILVER LAKE, 2775 SAND HILL ROAD, SUITE 100, MENLO PARK CA 94025
Slp Iv Seal Ii Holdings, L.p. director C/O SILVER LAKE, 2775 SAND HILL ROAD, SUITE 100, MENLO PARK CA 94025
Vincent Pilette officer: EVP, Finance 303 VELOCITY WAY, FOSTER CITY CA 94404
Gregory S. Clark director, officer: CEO EMULEX CORPORATION, 3333 SUSAN STREET, COSTA MESA CA 92626

Gen Digital (Gen Digital) Headlines