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Allot (ALLT) Gross Margin % : 46.84% (As of Dec. 2023)


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What is Allot Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Allot's Gross Profit for the three months ended in Dec. 2023 was $11.40 Mil. Allot's Revenue for the three months ended in Dec. 2023 was $24.34 Mil. Therefore, Allot's Gross Margin % for the quarter that ended in Dec. 2023 was 46.84%.

Warning Sign:

Allot Ltd gross margin has been in long-term decline. The average rate of decline per year is -3.1%.


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

ALLT' s Gross Margin % Range Over the Past 10 Years
Min: 56.56   Med: 69.2   Max: 70.51
Current: 56.56


During the past 13 years, the highest Gross Margin % of Allot was 70.51%. The lowest was 56.56%. And the median was 69.20%.

ALLT's Gross Margin % is ranked better than
65.07% of 2628 companies
in the Software industry
Industry Median: 41.685 vs ALLT: 56.56

Allot had a gross margin of 46.84% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Allot was -3.10% per year.


Allot Gross Margin % Historical Data

The historical data trend for Allot'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.

Allot Gross Margin % Chart

Allot 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 69.27 70.51 69.40 67.55 56.56

Allot 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 66.29 63.78 69.23 46.26 46.84

Competitive Comparison of Allot's Gross Margin %

For the Software - Infrastructure subindustry, Allot'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.


Allot's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Allot's Gross Margin % distribution charts can be found below:

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



Allot Gross Margin % Calculation

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

Allot'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 )
=52.7 / 93.15
=(Revenue - Cost of Goods Sold) / Revenue
=(93.15 - 40.464) / 93.15
=56.56 %

Allot'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 )
=11.4 / 24.342
=(Revenue - Cost of Goods Sold) / Revenue
=(24.342 - 12.941) / 24.342
=46.84 %

* 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.


Allot  (NAS:ALLT) 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

Allot had a gross margin of 46.84% for the quarter that ended in Dec. 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.


Allot Gross Margin % Related Terms

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


Allot (ALLT) Business Description

Traded in Other Exchanges
Address
22 Hanagar Street, Neve Ne’eman Industrial Zone B, Hod-Hasharon, ISR, 4501317
Allot Ltd is a provider of leading innovative network intelligence and security solutions for service providers and enterprises. The company's solutions are deployed globally for network and application analytics, traffic control and shaping, and network-based security services. The firm's multi-service platforms are deployed by over 500 mobile, fixed, and cloud service providers and over 1000 enterprises.
Executives
Gemini Israel Ii Parallel Fund Lp /ny 10 percent owner
Gemini Israel Ii Limited Partnership 10 percent owner 9 HAMENOFIM STREET, HERZLIYA PITUACH L3 46725
Gemini Israel Funds Ltd. 10 percent owner 9 HAMENOFIM STREET, HERZLIYA PITUACH L3 46725
Gemini Partners Investors L.p. 10 percent owner 9 HAMENOFIM STREET, HERZLIYA PITUACH L3 46725
Gemini Capital Associates Limited Partnership 10 percent owner 9 HAMENOFIM STREET, HERZLIYA PITUACH L3 46725
Advent Pggm Gemini Limited Partnership 10 percent owner 9 HAMENOFIM STREET, HERZLIYA PITUACH L3 46725