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Research Solutions (Research Solutions) Gross Margin % : 43.47% (As of Dec. 2023)


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What is Research Solutions Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Research Solutions's Gross Profit for the three months ended in Dec. 2023 was $4.48 Mil. Research Solutions's Revenue for the three months ended in Dec. 2023 was $10.31 Mil. Therefore, Research Solutions's Gross Margin % for the quarter that ended in Dec. 2023 was 43.47%.


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

RSSS' s Gross Margin % Range Over the Past 10 Years
Min: 19.15   Med: 27.6   Max: 40.48
Current: 40.48


During the past 13 years, the highest Gross Margin % of Research Solutions was 40.48%. The lowest was 19.15%. And the median was 27.60%.

RSSS's Gross Margin % is ranked worse than
51.48% of 2628 companies
in the Software industry
Industry Median: 41.685 vs RSSS: 40.48

Research Solutions had a gross margin of 43.47% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Research Solutions was 8.10% per year.


Research Solutions Gross Margin % Historical Data

The historical data trend for Research Solutions'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.

Research Solutions Gross Margin % Chart

Research Solutions 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 28.97 31.03 32.39 36.50 38.99

Research Solutions 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 39.05 38.94 39.37 40.08 43.47

Competitive Comparison of Research Solutions's Gross Margin %

For the Software - Application subindustry, Research Solutions'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.


Research Solutions's Gross Margin % Distribution in the Software Industry

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

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



Research Solutions Gross Margin % Calculation

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

Research Solutions'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 )
=14.7 / 37.703
=(Revenue - Cost of Goods Sold) / Revenue
=(37.703 - 23.002) / 37.703
=38.99 %

Research Solutions'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 )
=4.5 / 10.314
=(Revenue - Cost of Goods Sold) / Revenue
=(10.314 - 5.83) / 10.314
=43.47 %

* 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.


Research Solutions  (NAS:RSSS) 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

Research Solutions had a gross margin of 43.47% 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.


Research Solutions Gross Margin % Related Terms

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


Research Solutions (Research Solutions) Business Description

Traded in Other Exchanges
Address
10624 S. Eastern Avenue, Suite A-614, Henderson, NV, USA, 89052
Research Solutions Inc is a holding company. The company provides a cloud-based SaaS research intelligence platform consisting of proprietary software and Internet-based interfaces. Its platform also allows customers to find and download digital versions of STM articles. Platforms and Transactions are packaged as a single solution that enables life science and other research-intensive organizations to speed up research and development activities. The company platform allows customers to initiate orders, manage transactions, automate authentication, obtain reports, and connect seamlessly to corporate intranets.
Executives
Peter Derycz director, 10 percent owner, officer: CEO & President 207 10TH STREET, SANTA MONICA CA 90402
Bristol Capital Advisors, Llc other: See Explanation of Responses 555 MARIN STREET, SUITE 140, THOUSAND OAKS CA 91360
Bristol Investment Fund Ltd other: See Explanation of Responses 89 NEXUS WAY, CAMANA BAY, PO BOX 311063, GRAND CAYMAN E9 KY1-1205
Paul Kessler other: See Explanation of Responses 555 MARIN STREET, SUITE 140, THOUSAND OAKS CA 91360
Janice M Peterson other: See Explanation of Responses 10990 WILSHIRE BOULEVARD, STE 1410, LOS ANGELES CA 90024
Roy W Olivier director 11425 WEST LAKE PARK DRIVE, SUITE 900, MILWAUKEE WI 53224
Barbara J. Cooperman director 10624 S. EASTERN AVENUE, SUITE A-614, HENDERSON NV 89052
Eugene Vlad Robin director 2508 FISK LANE, REDONDO BEACH CA 90278
William Nurthen officer: CFO & Secretary 500 N. DEARBORN, SUITE 1200, CHICAGO IL 60610
Shane Alan Hunt officer: Chief Customer Success Officer C/O RESEARCH SOLUTIONS, INC., 10624 S. EASTERN AVE, SUITE A-614, HENDERSON NV 89052
Alan Louis Urban officer: CFO & Secretary 1524 CLOVERFIELD BOULEVARD, SUITE E, SANTA MONICA CA 90404
Marc Nissan officer: Chief Technology Officer C/O RESEARCH SOLUTIONS, INC., 15821 VENTURA BLVD. SUITE 165, ENCINO CA 91436
12 West Capital Management Lp 10 percent owner 475 TENTH AVENUE, 14TH FLOOR, NEW YORK NY 10018
Van Der Heijden Michiel officer: Chief Product Officer 10624 S. EASTERN AVE.., STE, A-614, HENDERSON NV 89052
Erkel Rogier Van officer: Chief Sales Officer C/O RESEARCH SOLUTIONS, INC., 15821 VENTURA BLVD. SUITE 165, ENCINO CA 91436