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Compucom Software (BOM:532339) Gross Margin % : 27.92% (As of Dec. 2023)


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What is Compucom Software Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Compucom Software's Gross Profit for the three months ended in Dec. 2023 was ₹63.3 Mil. Compucom Software's Revenue for the three months ended in Dec. 2023 was ₹226.9 Mil. Therefore, Compucom Software's Gross Margin % for the quarter that ended in Dec. 2023 was 27.92%.

Warning Sign:

Compucom Software Ltd gross margin has been in long-term decline. The average rate of decline per year is -12.8%.


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

BOM:532339' s Gross Margin % Range Over the Past 10 Years
Min: 6.71   Med: 49.22   Max: 83.88
Current: 29.22


During the past 13 years, the highest Gross Margin % of Compucom Software was 83.88%. The lowest was 6.71%. And the median was 49.22%.

BOM:532339's Gross Margin % is ranked worse than
79.52% of 249 companies
in the Education industry
Industry Median: 47.9 vs BOM:532339: 29.22

Compucom Software had a gross margin of 27.92% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Compucom Software was -12.80% per year.


Compucom Software Gross Margin % Historical Data

The historical data trend for Compucom Software'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.

Compucom Software Gross Margin % Chart

Compucom Software 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 24.80 24.11 6.71 23.06 33.60

Compucom Software 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 45.74 13.95 60.01 32.75 27.92

Competitive Comparison of Compucom Software's Gross Margin %

For the Education & Training Services subindustry, Compucom Software'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.


Compucom Software's Gross Margin % Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Compucom Software's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Compucom Software's Gross Margin % falls into.



Compucom Software Gross Margin % Calculation

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

Compucom Software'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 )
=183.5 / 546.227
=(Revenue - Cost of Goods Sold) / Revenue
=(546.227 - 362.693) / 546.227
=33.60 %

Compucom Software'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 )
=63.3 / 226.861
=(Revenue - Cost of Goods Sold) / Revenue
=(226.861 - 163.513) / 226.861
=27.92 %

* 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.


Compucom Software  (BOM:532339) 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

Compucom Software had a gross margin of 27.92% for the quarter that ended in Dec. 2023 => Competition eroding margins


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.


Compucom Software Gross Margin % Related Terms

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


Compucom Software (BOM:532339) Business Description

Traded in Other Exchanges
Address
IT 14-15, EPIP, Sitapura, Jaipur, RJ, IND, 302022
Compucom Software Ltd supports in offering information and communication technology (ICT) enabled education in government and private schools. The company along with its subsidiaries engaged in Software & E-Governance Services, Learning Solutions, and Wind Power Generation. The company is operating in following reportable segments: Software Development; Wind power generation; Learning Solution. It operates in various areas such as E-Governance projects, ICT Education projects, software design & development, IT and Media Training and Learning Solutions, Wind power generation. It derives the majority of its revenues through its learning solutions business. Geographically it generates the majority of its revenue from India and also has presence in USA.

Compucom Software (BOM:532339) Headlines

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