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Action Electronics Co (TPE:3024) Gross Margin % : 19.60% (As of Dec. 2024)


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What is Action Electronics Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Action Electronics Co's Gross Profit for the three months ended in Dec. 2024 was NT$264 Mil. Action Electronics Co's Revenue for the three months ended in Dec. 2024 was NT$1,345 Mil. Therefore, Action Electronics Co's Gross Margin % for the quarter that ended in Dec. 2024 was 19.60%.


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

TPE:3024' s Gross Margin % Range Over the Past 10 Years
Min: 13.02   Med: 22.94   Max: 27.7
Current: 23.45


During the past 13 years, the highest Gross Margin % of Action Electronics Co was 27.70%. The lowest was 13.02%. And the median was 22.94%.

TPE:3024's Gross Margin % is ranked worse than
52.54% of 2419 companies
in the Hardware industry
Industry Median: 24.54 vs TPE:3024: 23.45

Action Electronics Co had a gross margin of 19.60% for the quarter that ended in Dec. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Action Electronics Co was 1.60% per year.


Action Electronics Co Gross Margin % Historical Data

The historical data trend for Action Electronics Co'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.

Action Electronics Co Gross Margin % Chart

Action Electronics Co Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 23.45 22.43 26.29 27.70 23.45

Action Electronics Co Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 27.86 28.53 26.99 28.51 19.60

Competitive Comparison of Action Electronics Co's Gross Margin %

For the Consumer Electronics subindustry, Action Electronics Co'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.


Action Electronics Co's Gross Margin % Distribution in the Hardware Industry

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

* The bar in red indicates where Action Electronics Co's Gross Margin % falls into.


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Action Electronics Co Gross Margin % Calculation

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

Action Electronics Co's Gross Margin for the fiscal year that ended in Dec. 2024 is calculated as

Gross Margin % (A: Dec. 2024 )=Gross Profit (A: Dec. 2024 ) / Revenue (A: Dec. 2024 )
=585.2 / 2495.322
=(Revenue - Cost of Goods Sold) / Revenue
=(2495.322 - 1910.159) / 2495.322
=23.45 %

Action Electronics Co's Gross Margin for the quarter that ended in Dec. 2024 is calculated as


Gross Margin % (Q: Dec. 2024 )=Gross Profit (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=263.6 / 1345.307
=(Revenue - Cost of Goods Sold) / Revenue
=(1345.307 - 1081.672) / 1345.307
=19.60 %

* 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.


Action Electronics Co  (TPE:3024) 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

Action Electronics Co had a gross margin of 19.60% for the quarter that ended in Dec. 2024 => No sustainable 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.


Action Electronics Co Gross Margin % Related Terms

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


Action Electronics Co Business Description

Traded in Other Exchanges
N/A
Address
No. 423-7 Zhengguang Road, 4th Floor, Taoyuan District, Taoyuan, TWN, 330
Action Electronics Co Ltd is engaged in the trade of audio-visual electronic products, various home appliances, and other related products, housing and building development and rental, etc. The company's products include portable multimedia players, LCD digital TVs, mobile entertainment devices, mobile internet devices, and solar applications. Its operating segments include Brand management, Asset activation, and Automotive electronics. The company generates a majority of its revenue from the Automotive electronics segment. Geographically, the company derives maximum revenue from Taiwan, Mainland China, the United States, and other regions.

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