PGS Software (LTS:0RK2) Net Margin %: 21.46% (As of Sep. 2021) — Near Median


What is PGS Software Net Margin %?

PGS Software LTS:0RK2 4 Net Margin % is 21.46% as of Sep. 2021, which is 4% above its 10-year median of 20.67. GuruFocus rates LTS:0RK2 with a GF Score™ of 4/100. The stock has 6 warning signs investors should review.

Net margin is calculated as Net Income divided by its Revenue. PGS Software's Net Income for the three months ended in Sep. 2021 was zł11.46 Mil. PGS Software's Revenue for the three months ended in Sep. 2021 was zł53.40 Mil. Therefore, PGS Software's net margin for the quarter that ended in Sep. 2021 was 21.46%.

The historical rank and industry rank for PGS Software's Net Margin % or its related term are showing as below:

LTS:0RK2' s Net Margin % Range Over the Past 10 Years
Min: 13.72   Med: 20.67   Max: 25.22
Current: 21.57


LTS:0RK2's Net Margin % is not ranked
in the Software industry.
Industry Median: 2.54 vs LTS:0RK2: 21.57

PGS Software  (LTS:0RK2) Net Margin % Explanation

Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.

But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.


PGS Software Net Margin % Related Terms


PGS Software Net Margin % Historical Data

* Premium members only.

The historical data trend for PGS Software's Net 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.

PGS Software Net Margin % Chart

PGS Software Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Net Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 21.07 20.27 17.35 18.55 13.72

PGS Software Quarterly Data
Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21
Net 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 14.11 19.81 18.78 25.75 21.46

LTS:0RK2 vs CRM, INTU, NOW: Net Margin % Comparison

For the Software - Application subindustry, PGS Software's Net Margin %, along with its competitors' market caps and Net 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.


PGS Software Net Margin % vs Software Industry

For the Software industry and Technology sector, PGS Software's Net Margin % distribution charts can be found below:

* The bar in red indicates where PGS Software's Net Margin % falls into.



PGS Software Net Margin % Calculation

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

PGS Software's Net Margin for the fiscal year that ended in Dec. 2020 is calculated as

Net Margin=Net Income (A: Dec. 2020 )/Revenue (A: Dec. 2020 )
=19.564/142.641
=13.72 %

PGS Software's Net Margin for the quarter that ended in Sep. 2021 is calculated as

Net Margin=Net Income (Q: Sep. 2021 )/Revenue (Q: Sep. 2021 )
=11.462/53.402
=21.46 %

* 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.

Frequently Asked Questions Learn more about Net Margin % →
What does a Net Margin % of 21.46% mean?
PGS Software (LTS:0RK2) has a Net Margin % of 21.46% as of Sep. 2021. Net margin is the ratio of total net income to net sales. View historical data on PGS Software and its competitors. This is near median its historical median of 20.67. Over the past decade, PGS Software's Net Margin % has ranged from 13.72 to 25.22.
Is PGS Software's Net Margin % too high?
PGS Software's current Net Margin % of 21.46% is near median its 10-year median of 20.67. Over the past 10 years, this metric has ranged from a low of 13.72 to a high of 25.22. The Software industry median Net Margin % is 2.54. PGS Software's value of 21.46% is 744.9% above this industry median. Overall, PGS Software has a GF Score™ of 4/100, reflecting its overall financial health beyond just this single metric.
How does PGS Software's Net Margin % compare to CRM and INTU?
PGS Software's Net Margin % of 21.46% can be compared against companies in the Software industry. The industry median Net Margin % is 2.54. PGS Software's value of 21.46% is 744.9% above this benchmark. Historically, PGS Software's own Net Margin % has ranged from 13.72 to 25.22 over the past decade. While the company's 10-year median is 20.67 vs. the industry median of 2.54, PGS Software has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Software company?
The median Net Margin % among Software companies is 2.54, based on 2,827 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. PGS Software's current Net Margin % of 21.46% is 744.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on PGS Software and its competitors. For the Software industry, the median Net Margin % is 2.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PGS Software's current Net Margin % is 21.46%, which is near median its own 10-year median of 20.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PGS Software stock overvalued right now?
PGS Software (LTS:0RK2) has a current Net Margin % of 21.46%. The current Net Margin % is 21.46%, which is near median its 10-year median of 20.67 and 744.9% above the Software industry median of 2.54. PGS Software's overall GF Score™ is 4/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For PGS Software (LTS:0RK2), the current Net Margin % is 21.46% as of Sep. 2021. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

PGS Software Business Description

Address ul. Klecinska 123, Wroclaw, POL, 54-413
PGS Software SA provides software development and IT outsourcing services in Poland. It offers nearshore software outsourcing; mobile and web; application development; continuous delivery, quality analysis, and automation; and cloud services.