SOFO (Sonic Foundry) Net Margin %: -66.65% (As of Sep. 2023)

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SOFO Sonic Foundry Inc SOFO
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What is Sonic Foundry Net Margin %?

Sonic Foundry SOFO 12 Net Margin % is -66.65% as of Sep. 2023. GuruFocus rates SOFO with a GF Score™ of 12/100.

Net margin is calculated as Net Income divided by its Revenue. Sonic Foundry's Net Income for the three months ended in Sep. 2023 was $-3.72 Mil. Sonic Foundry's Revenue for the three months ended in Sep. 2023 was $5.58 Mil. Therefore, Sonic Foundry's net margin for the quarter that ended in Sep. 2023 was -66.65%.

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


SOFO's Net Margin % is not ranked *
in the Software industry.
Industry Median: 2.62
* Ranked among companies with meaningful Net Margin % only.

Sonic Foundry  (OTCPK:SOFO) 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.


Sonic Foundry Net Margin % Related Terms


Sonic Foundry Net Margin % Historical Data

* Premium members only.

The historical data trend for Sonic Foundry'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.

Sonic Foundry Net Margin % Chart

Sonic Foundry Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Net Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -10.38 -0.52 8.75 -25.79 -87.51

Sonic Foundry Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
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 -41.75 -87.51 -58.89 -136.03 -66.65

SOFO vs EBIXQ, WOWI, DUUO: Net Margin % Comparison

For the Software - Application subindustry, Sonic Foundry'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.


Sonic Foundry Net Margin % vs Software Industry

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

* The bar in red indicates where Sonic Foundry's Net Margin % falls into.


SOFO
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Sonic Foundry Inc SOFO
Net Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Sonic Foundry 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.

Sonic Foundry's Net Margin for the fiscal year that ended in Sep. 2023 is calculated as

Net Margin=Net Income (A: Sep. 2023 )/Revenue (A: Sep. 2023 )
=-19.348/22.109
=-87.51 %

Sonic Foundry's Net Margin for the quarter that ended in Sep. 2023 is calculated as

Net Margin=Net Income (Q: Sep. 2023 )/Revenue (Q: Sep. 2023 )
=-3.716/5.575
=-66.65 %

* 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 -66.65% mean?
Sonic Foundry (SOFO) has a Net Margin % of -66.65% as of Sep. 2023. Net margin is the ratio of total net income to net sales. View historical data on Sonic Foundry and its competitors.
Is Sonic Foundry's Net Margin % too high?
Sonic Foundry's current Net Margin % is -66.65%. Overall, Sonic Foundry has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Sonic Foundry's Net Margin % compare to EBIXQ and WOWI?
Sonic Foundry's Net Margin % of -66.65% can be compared against companies in the Software industry. The industry median Net Margin % is 2.62. 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 2.62, based on 2,824 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. 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 Sonic Foundry and its competitors. For the Software industry, the median Net Margin % is 2.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sonic Foundry's current Net Margin % is -66.65%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sonic Foundry stock overvalued right now?
Sonic Foundry (SOFO) has a current Net Margin % of -66.65%. The current Net Margin % is -66.65%. Sonic Foundry's overall GF Score™ is 12/100. 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 Sonic Foundry (SOFO), the current Net Margin % is -66.65% as of Sep. 2023. 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.

Sonic Foundry Business Description

Address 222 W. Washington Avenue, Madison, WI, USA, 53703
Sonic Foundry Inc is engaged in the business of providing video enterprise solutions and services for the digital-first, distance learning, and corporate communications market. It offers video capture, management, and streaming solutions as well as virtual and hybrid events in education, business, and government. Sonic Foundry's family of brands includes Mediasite, Video Solutions, Vidable and Global Learning Exchange. The company also offers video solutions, including Mediasite Video Platform, Mediasite Video Cloud, Mediasite Capture Solutions, Mediasite Events, Mediasite Services, and Mediasite Customer Care. The company has a geographical presence in the United States, Europe, and the Middle East, Asia, and other places.
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Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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