Sun Max Tech (TPE:6591) Gross Margin % : 25.80% (As of Dec. 2024)

View and export this data going back to 2016. Start your Free Trial

What is Sun Max Tech Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Sun Max Tech's Gross Profit for the three months ended in Dec. 2024 was NT$71 Mil. Sun Max Tech's Revenue for the three months ended in Dec. 2024 was NT$276 Mil. Therefore, Sun Max Tech's Gross Margin % for the quarter that ended in Dec. 2024 was 25.80%.

Warning Sign:

Sun Max Tech Ltd gross margin has been in long-term decline. The average rate of decline per year is -1.5%.

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

TPE:6591' s Gross Margin % Range Over the Past 10 Years
Min: 19.78 Med: 27.52 Max: 33.8
Current: 26.48

During the past 12 years, the highest Gross Margin % of Sun Max Tech was 33.80%. The lowest was 19.78%. And the median was 27.52%.

TPE:6591's Gross Margin % is ranked better than
54.44% of 2410 companies
in the Hardware industry
Industry Median: 24.5 vs TPE:6591: 26.48

Sun Max Tech had a gross margin of 25.80% for the quarter that ended in Dec. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Sun Max Tech was -1.50% per year.

Sun Max Tech Gross Margin % Historical Data

The historical data trend for Sun Max Tech'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.

Sun Max Tech Gross Margin % Chart

Sun Max Tech Annual Data

Trend

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Gross Margin %

Get a 7-Day Free Trial

33.80

30.96

31.08

28.29

26.48

Sun Max Tech 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															28.45	26.88	24.70	28.30	25.80

Competitive Comparison of Sun Max Tech's Gross Margin %

For the Computer Hardware subindustry, Sun Max Tech'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.

Sun Max Tech's Gross Margin % Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Sun Max Tech's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Sun Max Tech's Gross Margin % falls into.

Save Embed

;

Save Embed

;

Sun Max Tech Gross Margin % Calculation

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

Sun Max Tech'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 )
	=	334.4	/	1262.815
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(1262.815 - 928.378)	/	1262.815
	=	26.48 %

Sun Max Tech'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 )
	=	71.1	/	275.604
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(275.604 - 204.502)	/	275.604
	=	25.80 %

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.

Sun Max Tech (TPE:6591) 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

Sun Max Tech had a gross margin of 25.80% for the quarter that ended in Dec. 2024 => Competition eroding margins

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.

Sun Max Tech Gross Margin % Related Terms

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

Sun Max Tech Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Hardware » Sun Max Tech Ltd (TPE:6591) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

N/A

Address

802 West Bay Road, Oleander Way, P.O. Box 32052, The Grand Pavilion Commercial Centre, Grand Cayman, CYM, KY1-1208

Website

https://www.sun-max.com.tw

Sun Max Tech Ltd is engaged in the research and development, production, and sales of DC brushless cooling fans, liquid cooling pumps, and other computer-related accessories in Taiwan. Its products are mainly used for personal computers (PC), communications networks, and Industrial control. The company generates maximum revenue from a Cooling fan. Geographically, it derives a majority of its revenue from China and also has a presence in Taiwan and other countries.

Sun Max Tech Headlines

No Headlines