Hut 8 (TSX:HUT) Gross Margin %

: 46.96% (As of Sep. 2023)

View and export this data going back to 2023. Start your Free Trial

Gross Margin % is calculated as gross profit divided by its revenue. Hut 8's Gross Profit for the three months ended in Sep. 2023 was C$14.1 Mil. Hut 8's Revenue for the three months ended in Sep. 2023 was C$30.1 Mil. Therefore, Hut 8's Gross Margin % for the quarter that ended in Sep. 2023 was 46.96%.

The historical rank and industry rank for Hut 8's Gross Margin % or its related term are showing as below:

TSX:HUT' s Gross Margin % Range Over the Past 10 Years
Min: 61.12 Med: 67.44 Max: 67.44
Current: 61.12

During the past 2 years, the highest Gross Margin % of Hut 8 was 67.44%. The lowest was 61.12%. And the median was 67.44%.

TSX:HUT's Gross Margin % is ranked better than
63.53% of 606 companies
in the Capital Markets industry
Industry Median: 50.265 vs TSX:HUT: 61.12

Hut 8 had a gross margin of 46.96% for the quarter that ended in Sep. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Hut 8 was 0.00% per year.

Hut 8 Gross Margin % Historical Data

The historical data trend for Hut 8'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.

Hut 8 Annual Data

Trend

Jun21

Jun22

Gross Margin %

67.44

Hut 8 Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Gross Margin %							40.73	59.89	53.03	46.96	68.30

Competitive Comparison

For the Capital Markets subindustry, Hut 8'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.

Hut 8 Gross Margin % Distribution

For the Capital Markets industry and Financial Services sector, Hut 8's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Hut 8's Gross Margin % falls into.

Hut 8 Gross Margin % Calculation

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

Hut 8's Gross Margin for the fiscal year that ended in Jun. 2022 is calculated as

Gross Margin % (A: Jun. 2022 )	=	Gross Profit (A: Jun. 2022 )	/	Revenue (A: Jun. 2022 )
	=	68.4	/	101.388
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(101.388 - 33.012)	/	101.388
	=	67.44 %

Hut 8's Gross Margin for the quarter that ended in Sep. 2023 is calculated as

Gross Margin % (Q: Sep. 2023 )	=	Gross Profit (Q: Sep. 2023 )	/	Revenue (Q: Sep. 2023 )
	=	14.1	/	30.088
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(30.088 - 15.96)	/	30.088
	=	46.96 %

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.

Hut 8 (TSX:HUT) 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

Hut 8 had a gross margin of 46.96% for the quarter that ended in Sep. 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.

Hut 8 Gross Margin % Related Terms

Thank you for viewing the detailed overview of Hut 8's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.

Hut 8 (TSX:HUT) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Capital Markets » Hut 8 Corp (TSX:HUT) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

HUT:USA HUT1:Mexico V71:Germany

Address

1101 Brickell Avenue, Suite 1500, Miami, FL, USA, 33131

Website

https://www.hut8.com

Hut 8 Corp is harnessing the limitless potential of data by leveraging cutting-edge infrastructure to create value for its customers and shareholders. Led by a seasoned executive team, Hut 8 is bullish on building computing infrastructure that powers Bitcoin mining, traditional data center's, and the dynamic requirements of future technologies like AI and machine learning.

Hut 8 (TSX:HUT) Headlines

From GuruFocus

Kirby McInerney LLP Announces Investigation of Shareholder Claims Against Hut 8 Corp. (HUT)

By Business Wire • 01-23-2024