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SeaChange International (SeaChange International) Gross Margin % : 59.40% (As of Apr. 2023)


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What is SeaChange International Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. SeaChange International's Gross Profit for the three months ended in Apr. 2023 was $4.15 Mil. SeaChange International's Revenue for the three months ended in Apr. 2023 was $6.99 Mil. Therefore, SeaChange International's Gross Margin % for the quarter that ended in Apr. 2023 was 59.40%.

Warning Sign:

SeaChange International Inc gross margin has been in long-term decline. The average rate of decline per year is -1.9%.


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

SEAC' s Gross Margin % Range Over the Past 10 Years
Min: 43.78   Med: 56.98   Max: 67.21
Current: 65.5


During the past 13 years, the highest Gross Margin % of SeaChange International was 67.21%. The lowest was 43.78%. And the median was 56.98%.

SEAC's Gross Margin % is ranked better than
74.09% of 2628 companies
in the Software industry
Industry Median: 41.71 vs SEAC: 65.50

SeaChange International had a gross margin of 59.40% for the quarter that ended in Apr. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for SeaChange International was -1.90% per year.


SeaChange International Gross Margin % Historical Data

The historical data trend for SeaChange International'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.

SeaChange International Gross Margin % Chart

SeaChange International Annual Data
Trend Jan14 Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 59.82 64.78 45.14 59.87 63.17

SeaChange International Quarterly Data
Jul18 Oct18 Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23
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 47.90 64.98 62.20 72.78 59.40

Competitive Comparison of SeaChange International's Gross Margin %

For the Software - Application subindustry, SeaChange International'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.


SeaChange International's Gross Margin % Distribution in the Software Industry

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

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



SeaChange International Gross Margin % Calculation

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

SeaChange International's Gross Margin for the fiscal year that ended in Jan. 2023 is calculated as

Gross Margin % (A: Jan. 2023 )=Gross Profit (A: Jan. 2023 ) / Revenue (A: Jan. 2023 )
=20.5 / 32.493
=(Revenue - Cost of Goods Sold) / Revenue
=(32.493 - 11.966) / 32.493
=63.17 %

SeaChange International's Gross Margin for the quarter that ended in Apr. 2023 is calculated as


Gross Margin % (Q: Apr. 2023 )=Gross Profit (Q: Apr. 2023 ) / Revenue (Q: Apr. 2023 )
=4.2 / 6.992
=(Revenue - Cost of Goods Sold) / Revenue
=(6.992 - 2.839) / 6.992
=59.40 %

* 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.


SeaChange International  (OTCPK:SEAC) 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

SeaChange International had a gross margin of 59.40% for the quarter that ended in Apr. 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.


SeaChange International Gross Margin % Related Terms

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


SeaChange International (SeaChange International) Business Description

Traded in Other Exchanges
N/A
Address
177 Huntington Avenue, Suite 1703, PMB 73480, Boston, MA, USA, 02115
SeaChange International Inc is a provider of multiscreen video solutions for television service providers, telecommunications companies, satellite operators, and media companies. The business has two product areas: multiscreen video back-office and advertising and video gateway software solutions. The firm's solutions facilitate aggregation, licensing, management, and distribution of video and advertising content for its customers. The company derives revenue from sales of hardware, software, systems, and services in multiple-element arrangements. Roughly half of the firm's revenue is generated in the United States, with the rest in Europe, Middle East, Latin America, and Asia-Pacific regions.
Executives
Karen Singer 10 percent owner 212 VACCARO DRIVE, CRESSKILL NJ 07626
Christoph Klimmer officer: President 177 HUNTINGTON AVENUE, SUITE 1703, BOSTON MA 02115
Mark Paul Szynkowski officer: SVP, CFO and Treasurer 44 LAKEVIEW DRIVE, MONROE NY 10950
Igor Volshteyn director 6470 EAST JOHNS CROSSING, DULUTH GA 30097
Kathleen Mosher officer: Chief Financial Officer C/O SEACHANGE INTERNATIONAL, INC., 177 HUNTINGTON AVENUE, SUITE 1703, BOSTON MA 02115
Peter D Aquino director, officer: President and C.E.O. MOTIENT CORP, 300 KNIGHTBRIDGE PARKWAY, LINCOLNSHIRE IL 60069
Michael Prinn officer: Chief Financial Officer C/O BRIDGELINE DIGITAL, INC., 10 SIXTH ROAD, WOBURN MA 01801
Steven G Singer director 2200 FLETCHER AVENUE, SUITE 501, FORT LEE NJ 07024
Robert M Pons director 439 WILLIAMSON ROAD, GLADWYNE PA 19035
David J Nicol director 9777 PYRAMID COURT 100, C/O EVOLVING SYSTEMS INC, ENGLEWOOD CO 80112
Matthew Stecker director 711 SOUTH BRYN MAWR AVE., BRYN MAWR PA 19010
Marek Kielczewski officer: Chief Technology Officer 50 NAGOG PARK, ACTON MA 01720
Yosef Aloni officer: Chief Commercial Officer 50 NAGOG PARK, ACTON MA 01720
Julian D. Singer director 2200 FLETCHER AVENUE, SUITE 501, FORT LEE NJ 07024
Chad A. Hassler officer: Chief Commercial Officer 50 NAGOG PARK, ACTON MA 01720