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Foresight Group Holdings (LSE:FSG) Gross Margin % : 95.22% (As of Mar. 2023)


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What is Foresight Group Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Foresight Group Holdings's Gross Profit for the six months ended in Mar. 2023 was £65.2 Mil. Foresight Group Holdings's Revenue for the six months ended in Mar. 2023 was £68.4 Mil. Therefore, Foresight Group Holdings's Gross Margin % for the quarter that ended in Mar. 2023 was 95.22%.


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

LSE:FSG' s Gross Margin % Range Over the Past 10 Years
Min: 88.6   Med: 92.81   Max: 94.71
Current: 94.71


During the past 6 years, the highest Gross Margin % of Foresight Group Holdings was 94.71%. The lowest was 88.60%. And the median was 92.81%.

LSE:FSG's Gross Margin % is ranked better than
86.79% of 530 companies
in the Asset Management industry
Industry Median: 51.47 vs LSE:FSG: 94.71

Foresight Group Holdings had a gross margin of 95.22% for the quarter that ended in Mar. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Foresight Group Holdings was 1.20% per year.


Foresight Group Holdings Gross Margin % Historical Data

The historical data trend for Foresight Group Holdings'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.

Foresight Group Holdings Gross Margin % Chart

Foresight Group Holdings Annual Data
Trend Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial 88.60 92.33 93.29 94.07 94.71

Foresight Group Holdings Semi-Annual Data
Mar18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only 93.71 93.84 94.26 94.02 95.22

Competitive Comparison of Foresight Group Holdings's Gross Margin %

For the Asset Management subindustry, Foresight Group Holdings'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.


Foresight Group Holdings's Gross Margin % Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Foresight Group Holdings's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Foresight Group Holdings's Gross Margin % falls into.



Foresight Group Holdings Gross Margin % Calculation

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

Foresight Group Holdings'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 )
=112.9 / 119.155
=(Revenue - Cost of Goods Sold) / Revenue
=(119.155 - 6.303) / 119.155
=94.71 %

Foresight Group Holdings's Gross Margin for the quarter that ended in Mar. 2023 is calculated as


Gross Margin % (Q: Mar. 2023 )=Gross Profit (Q: Mar. 2023 ) / Revenue (Q: Mar. 2023 )
=65.2 / 68.435
=(Revenue - Cost of Goods Sold) / Revenue
=(68.435 - 3.27) / 68.435
=95.22 %

* 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.


Foresight Group Holdings  (LSE:FSG) 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

Foresight Group Holdings had a gross margin of 95.22% for the quarter that ended in Mar. 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.


Foresight Group Holdings Gross Margin % Related Terms

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


Foresight Group Holdings (LSE:FSG) Business Description

Traded in Other Exchanges
Address
32 London Bridge Street, The Shard, London, GBR, SE1 9SG
Foresight Group Holdings Ltd is an asset management company. The company is an independent infrastructure and private equity investment manager. It invests in renewable energy businesses and social infrastructure projects.

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