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Gamma Communications (LSE:GAMA) Cost of Goods Sold : £254.5 Mil (TTM As of Dec. 2023)


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What is Gamma Communications Cost of Goods Sold?

Gamma Communications's cost of goods sold for the six months ended in Dec. 2023 was £129.5 Mil. Its cost of goods sold for the trailing twelve months (TTM) ended in Dec. 2023 was £254.5 Mil.

Cost of Goods Sold is directly linked to profitability of the company through Gross Margin. Gamma Communications's Gross Margin % for the six months ended in Dec. 2023 was 51.22%.

Cost of Goods Sold is also directly linked to Inventory Turnover. Gamma Communications's Inventory Turnover for the six months ended in Dec. 2023 was 10.61.


Gamma Communications Cost of Goods Sold Historical Data

The historical data trend for Gamma Communications's Cost of Goods Sold 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.

Gamma Communications Cost of Goods Sold Chart

Gamma Communications Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cost of Goods Sold
Get a 7-Day Free Trial Premium Member Only Premium Member Only 162.40 193.00 219.20 236.90 254.50

Gamma Communications Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Cost of Goods Sold 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 113.50 114.30 122.60 125.00 129.50

Gamma Communications Cost of Goods Sold Calculation

Cost of Goods Sold is the aggregate cost of goods produced and sold, and services rendered during the reporting period. It excludes Total Operating Expense, such as Depreciation, Depletion and Amortization and Selling, General, & Admin. Expense.

Cost of Goods Sold for the trailing twelve months (TTM) ended in Dec. 2023 adds up the semi-annually data reported by the company within the most recent 12 months, which was £254.5 Mil.

* 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.


Gamma Communications  (LSE:GAMA) Cost of Goods Sold Explanation

Cost of Goods Sold is directly linked to profitability of the company through Gross Margin.

Gamma Communications's Gross Margin % for the six months ended in Dec. 2023 is calculated as:

Gross Margin %=(Revenue - Cost of Goods Sold) / Revenue
=(265.5 - 129.5) / 265.5
=51.22 %

* 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 company that has a moat can usually maintain or even expand their Gross Margin. A company can increase its Gross Margin in two ways. It can increase the prices of the goods it sells and keeps its Cost of Goods Sold unchanged. Or it can keep the sales price unchanged and squeeze its suppliers to reduce the Cost of Goods Sold. Warren Buffett believes businesses with the power to raise prices have moats.

Cost of Goods Sold is also directly linked to another concept called Inventory Turnover:

Gamma Communications's Inventory Turnover for the six months ended in Dec. 2023 is calculated as:

* 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.

Inventory Turnover measures how fast the company turns over its inventory within a year. A higher inventory turnover means the company has light inventory. Therefore the company spends less money on storage, write downs, and obsolete inventory. If the inventory is too light, it may affect sales because the company may not have enough to meet demand.

Usually retailers pile up their inventories at holiday seasons to meet the stronger demand. Therefore, the inventory of a particular quarter of a year should not be used to calculate inventory turnover. An average inventory is a better indication.


Gamma Communications Cost of Goods Sold Related Terms

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Gamma Communications (LSE:GAMA) Business Description

Traded in Other Exchanges
Address
Kings Road West, Kings House, Newbury, Berkshire, GBR, RG14 5BY
Gamma Communications PLC is a supplier of Unified Communications as a Service (UCaaS) in the United Kingdom and Dutch markets, supplying communication solutions directly and via its network of trusted channel partners. The company's product portfolio includes Unified Communications, SIP Trunking, Call Management, Mobile, and Connectivity. Its segments consist of UK Indirect, which sells products to channel partners; UK Direct which sells products to end-users in the SME, enterprise, and public sectors together with an associated service wrap; and European segment consists of sales made in Europe; and Central functions.

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