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Donnelley Financial Solutions (Donnelley Financial Solutions) Gross Margin % : 60.62% (As of Mar. 2024)


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What is Donnelley Financial Solutions Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Donnelley Financial Solutions's Gross Profit for the three months ended in Mar. 2024 was $123.3 Mil. Donnelley Financial Solutions's Revenue for the three months ended in Mar. 2024 was $203.4 Mil. Therefore, Donnelley Financial Solutions's Gross Margin % for the quarter that ended in Mar. 2024 was 60.62%.


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

DFIN' s Gross Margin % Range Over the Past 10 Years
Min: 37.06   Med: 39.67   Max: 59.71
Current: 59.71


During the past 11 years, the highest Gross Margin % of Donnelley Financial Solutions was 59.71%. The lowest was 37.06%. And the median was 39.67%.

DFIN's Gross Margin % is ranked better than
60% of 600 companies
in the Capital Markets industry
Industry Median: 48.965 vs DFIN: 59.71

Donnelley Financial Solutions had a gross margin of 60.62% for the quarter that ended in Mar. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Donnelley Financial Solutions was 10.20% per year.


Donnelley Financial Solutions Gross Margin % Historical Data

The historical data trend for Donnelley Financial Solutions'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.

Donnelley Financial Solutions Gross Margin % Chart

Donnelley Financial Solutions Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 37.99 44.55 58.41 55.59 58.19

Donnelley Financial Solutions Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 54.53 59.44 60.61 58.13 60.62

Competitive Comparison of Donnelley Financial Solutions's Gross Margin %

For the Capital Markets subindustry, Donnelley Financial Solutions'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.


Donnelley Financial Solutions's Gross Margin % Distribution in the Capital Markets Industry

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

* The bar in red indicates where Donnelley Financial Solutions's Gross Margin % falls into.



Donnelley Financial Solutions Gross Margin % Calculation

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

Donnelley Financial Solutions's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )=Gross Profit (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=463.9 / 797.2
=(Revenue - Cost of Goods Sold) / Revenue
=(797.2 - 333.3) / 797.2
=58.19 %

Donnelley Financial Solutions's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=123.3 / 203.4
=(Revenue - Cost of Goods Sold) / Revenue
=(203.4 - 80.1) / 203.4
=60.62 %

* 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.


Donnelley Financial Solutions  (NYSE:DFIN) 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

Donnelley Financial Solutions had a gross margin of 60.62% for the quarter that ended in Mar. 2024 => 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.


Donnelley Financial Solutions Gross Margin % Related Terms

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


Donnelley Financial Solutions (Donnelley Financial Solutions) Business Description

Traded in Other Exchanges
Address
35 West Wacker Drive, Chicago, IL, USA, 60601
Donnelley Financial Solutions Inc is a global risk and compliance solutions company. The company provides regulatory filing and deal solutions via its software-as-a-service, technology-enabled services, and print and distribution solutions to public and private companies, mutual funds, and other regulated investment firms. The company operates in four segments: Capital Markets - Software Solutions, Capital Markets - Compliance and Communications Management, Investment Companies - Software Solutions and Investment Companies - Compliance and Communications Management. Its geographical segments are the United States( US), Europe, Asia, Canada, and others, of which the US accounts for the vast majority of its total revenue.
Executives
Jeffrey Jacobowitz director, 10 percent owner C/O ROBOTTI & COMPANY, 52 VANDERBILT AVENUE, 4TH FLOOR, NEW YORK NY 10017
Kami Turner officer: See Remarks C/O DONNELLEY FINANCIAL SOLUTIONS, 35 W. WACKER DR, CHICAGO IL 60601
Eric J Johnson officer: President, GIC C/O DONNELLEY FINANCIAL SOLUTIONS, 35 WEST WACKER DRIVE, CHICAGO IL 60601
Daniel Leib director, officer: Chief Executive Officer C/O RR DONNELLEY & SONS COMPANY, 111 SOUTH WACKER DRIVE, CHICAGO IL 60606
Simcoe Capital Management, Llc 10 percent owner 540 MADISON AVENUE, 27TH FLOOR, NEW YORK NY 10022
Craig Clay officer: President, GCM C/O DONNELLEY FINANCIAL SOLUTIONS, 35 WEST WACKER DRIVE, CHICAGO IL 60601
Leah Marie Trzcinski officer: General Counsel C/O DONNELLEY FINANCIAL SOLUTIONS, 35 W WACKER DRIVE, CHICAGO IL 60601
Robert Kirk Williams officer: Chief People & Admin Officer C/O DONNELLEY FINANCIAL SOLUTIONS, 35 W WACKER DRIVE, CHICAGO IL 60601
Jennifer B Reiners officer: General Counsel C/O DONNELLEY FINANCIAL SOLUTIONS, 35 W. WACKER DR, CHICAGO IL 60601
Juliet S Ellis director C/O DONNELLEY FINANCIAL SOLUTIONS, 35 WEST WACKER DRIVE, CHICAGO IL 60601
Chandar Pattabhiram director C/O DONNELLEY FINANCIAL SOLUTIONS, 35 W. WACKER DR., CHICAGO IL 60601
David A Gardella officer: Chief Financial Officer C/O DONNELLEY FINANCIAL SOLUTIONS, 35 W. WACKER DR, CHICAGO IL 60601
Gary G Greenfield director AVID, 75 NETWORK DRIVE, BURLINGTON MA 01803
Richard L Crandall director 800 DELAWARE AVE, COMPUTER TASK GROUP INC, BUFFALO NY 14209
Lois M Martin director PO BOX 1101, ADC TELCOMMUNICATIONS INC, MINNEAPOLIS MN 55440-1104