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Square Enix Holdings Co (TSE:9684) Gross Margin % : 59.29% (As of Dec. 2023)


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What is Square Enix Holdings Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Square Enix Holdings Co's Gross Profit for the three months ended in Dec. 2023 was 円50,734 Mil. Square Enix Holdings Co's Revenue for the three months ended in Dec. 2023 was 円85,566 Mil. Therefore, Square Enix Holdings Co's Gross Margin % for the quarter that ended in Dec. 2023 was 59.29%.


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

TSE:9684' s Gross Margin % Range Over the Past 10 Years
Min: 39.14   Med: 47.04   Max: 53.47
Current: 49.98


During the past 13 years, the highest Gross Margin % of Square Enix Holdings Co was 53.47%. The lowest was 39.14%. And the median was 47.04%.

TSE:9684's Gross Margin % is ranked worse than
62.07% of 522 companies
in the Interactive Media industry
Industry Median: 60.98 vs TSE:9684: 49.98

Square Enix Holdings Co had a gross margin of 59.29% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Square Enix Holdings Co was 2.30% per year.


Square Enix Holdings Co Gross Margin % Historical Data

The historical data trend for Square Enix Holdings 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.

Square Enix Holdings Co Gross Margin % Chart

Square Enix Holdings Co Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 44.82 47.60 48.09 53.47 51.24

Square Enix Holdings Co 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 52.14 42.16 42.64 55.99 59.29

Competitive Comparison of Square Enix Holdings Co's Gross Margin %

For the Electronic Gaming & Multimedia subindustry, Square Enix Holdings 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.


Square Enix Holdings Co's Gross Margin % Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Square Enix Holdings Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Square Enix Holdings Co's Gross Margin % falls into.



Square Enix Holdings Co Gross Margin % Calculation

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

Square Enix Holdings Co'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 )
=175889 / 343267
=(Revenue - Cost of Goods Sold) / Revenue
=(343267 - 167378) / 343267
=51.24 %

Square Enix Holdings Co'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 )
=50734 / 85566
=(Revenue - Cost of Goods Sold) / Revenue
=(85566 - 34832) / 85566
=59.29 %

* 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.


Square Enix Holdings Co  (TSE:9684) 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

Square Enix Holdings Co had a gross margin of 59.29% 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.


Square Enix Holdings Co Gross Margin % Related Terms

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Square Enix Holdings Co (TSE:9684) Business Description

Traded in Other Exchanges
Address
Shinjuku Eastside Square, 6-27-30 Shinjuku, Shinjuku-ku, Tokyo, JPN, 160-8430
Square Enix Holdings Co Ltd is a Japanese holding company that is involved with entertainment content and services. The firm's segments include digital entertainment, which designs, develops, and sells digital entertainment products and games; amusement, which operates amusement facilities and distributes arcade game machines; publication, which publishes comic books, game strategy books, and magazines; and merchandising, which produces, distributes, and licenses derivative products of titles owned by the firm. Square Enix derives the majority of its revenue from its digital entertainment operations.

Square Enix Holdings Co (TSE:9684) Headlines

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