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Alpha Networks (TPE:3380) Gross Margin % : 19.46% (As of Mar. 2024)


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What is Alpha Networks Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Alpha Networks's Gross Profit for the three months ended in Mar. 2024 was NT$1,008 Mil. Alpha Networks's Revenue for the three months ended in Mar. 2024 was NT$5,180 Mil. Therefore, Alpha Networks's Gross Margin % for the quarter that ended in Mar. 2024 was 19.46%.


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

TPE:3380' s Gross Margin % Range Over the Past 10 Years
Min: 12.61   Med: 15.37   Max: 18.84
Current: 18.84


During the past 13 years, the highest Gross Margin % of Alpha Networks was 18.84%. The lowest was 12.61%. And the median was 15.37%.

TPE:3380's Gross Margin % is ranked worse than
63.08% of 2438 companies
in the Hardware industry
Industry Median: 24.405 vs TPE:3380: 18.84

Alpha Networks had a gross margin of 19.46% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Alpha Networks was 5.80% per year.


Alpha Networks Gross Margin % Historical Data

The historical data trend for Alpha Networks'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.

Alpha Networks Gross Margin % Chart

Alpha Networks 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 16.52 15.56 16.46 18.59 18.43

Alpha Networks 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 17.79 17.59 20.24 18.57 19.46

Competitive Comparison of Alpha Networks's Gross Margin %

For the Communication Equipment subindustry, Alpha Networks'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.


Alpha Networks's Gross Margin % Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Alpha Networks's Gross Margin % distribution charts can be found below:

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



Alpha Networks Gross Margin % Calculation

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

Alpha Networks'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 )
=5211.2 / 28272.191
=(Revenue - Cost of Goods Sold) / Revenue
=(28272.191 - 23061.018) / 28272.191
=18.43 %

Alpha Networks'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 )
=1007.9 / 5180.2
=(Revenue - Cost of Goods Sold) / Revenue
=(5180.2 - 4172.315) / 5180.2
=19.46 %

* 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.


Alpha Networks  (TPE:3380) 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

Alpha Networks had a gross margin of 19.46% for the quarter that ended in Mar. 2024 => No sustainable 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.


Alpha Networks Gross Margin % Related Terms

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Alpha Networks (TPE:3380) Business Description

Traded in Other Exchanges
N/A
Address
No. 8, Li-Shing 7th Road, Science-based Industrial Park, Hsinchu, TWN
Alpha Networks Inc is a provider of telecommunications services mainly engaged in the research, development, design, production, and sale of broadband products, computer network systems, wireless local area networks (LAN), and related accessories. Its product portfolio includes LAN/MAN, Wireless Broadband, Digital Multimedia, Mobile Enterprise Solutions, and Transformation Platforms. Geographically company has a presence in the United States, Taiwan, Singapore, and others where it generates the majority of its revenue from the United States.

Alpha Networks (TPE:3380) Headlines

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