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Gilat Telecom Global (XTAE:GLTL) Gross Margin % : 20.26% (As of Dec. 2023)


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What is Gilat Telecom Global Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Gilat Telecom Global's Gross Profit for the three months ended in Dec. 2023 was ₪14.2 Mil. Gilat Telecom Global's Revenue for the three months ended in Dec. 2023 was ₪70.0 Mil. Therefore, Gilat Telecom Global's Gross Margin % for the quarter that ended in Dec. 2023 was 20.26%.


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

XTAE:GLTL' s Gross Margin % Range Over the Past 10 Years
Min: 18.97   Med: 24.51   Max: 27.75
Current: 21.79


During the past 10 years, the highest Gross Margin % of Gilat Telecom Global was 27.75%. The lowest was 18.97%. And the median was 24.51%.

XTAE:GLTL's Gross Margin % is ranked worse than
83.81% of 352 companies
in the Telecommunication Services industry
Industry Median: 49.145 vs XTAE:GLTL: 21.79

Gilat Telecom Global had a gross margin of 20.26% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Gilat Telecom Global was 0.60% per year.


Gilat Telecom Global Gross Margin % Historical Data

The historical data trend for Gilat Telecom Global'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.

Gilat Telecom Global Gross Margin % Chart

Gilat Telecom Global 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 27.19 27.75 24.02 24.41 21.79

Gilat Telecom Global 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 26.72 24.83 22.41 20.71 20.26

Competitive Comparison of Gilat Telecom Global's Gross Margin %

For the Telecom Services subindustry, Gilat Telecom Global'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.


Gilat Telecom Global's Gross Margin % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Gilat Telecom Global's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Gilat Telecom Global's Gross Margin % falls into.



Gilat Telecom Global Gross Margin % Calculation

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

Gilat Telecom Global'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 )
=44.7 / 205.024
=(Revenue - Cost of Goods Sold) / Revenue
=(205.024 - 160.357) / 205.024
=21.79 %

Gilat Telecom Global'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 )
=14.2 / 69.997
=(Revenue - Cost of Goods Sold) / Revenue
=(69.997 - 55.816) / 69.997
=20.26 %

* 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.


Gilat Telecom Global  (XTAE:GLTL) 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

Gilat Telecom Global had a gross margin of 20.26% 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.


Gilat Telecom Global Gross Margin % Related Terms

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Gilat Telecom Global (XTAE:GLTL) Business Description

Traded in Other Exchanges
N/A
Address
21 Yegia Kapayim Street, P O Box 7144, Petach-Tikva, ISR, 4913020
Gilat Telecom Global Ltd is engaged in providing end-to-end communication solutions including bandwidth and connectivity over satellite, fiber optic, and radio infrastructure to cellular operators, Internet providers, enterprises, government organizations, and emergency and rescue services in Africa and the middle east.

Gilat Telecom Global (XTAE:GLTL) Headlines

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