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GEX Management (GEX Management) Gross Margin % : -8.17% (As of Dec. 2023)


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What is GEX Management Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. GEX Management's Gross Profit for the three months ended in Dec. 2023 was $-0.03 Mil. GEX Management's Revenue for the three months ended in Dec. 2023 was $0.37 Mil. Therefore, GEX Management's Gross Margin % for the quarter that ended in Dec. 2023 was -8.17%.


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

GXXM' s Gross Margin % Range Over the Past 10 Years
Min: 1.72   Med: 34.78   Max: 84.82
Current: 32.58


During the past 9 years, the highest Gross Margin % of GEX Management was 84.82%. The lowest was 1.72%. And the median was 34.78%.

GXXM's Gross Margin % is ranked worse than
52.73% of 988 companies
in the Business Services industry
Industry Median: 34.34 vs GXXM: 32.58

GEX Management had a gross margin of -8.17% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for GEX Management was 12.90% per year.


GEX Management Gross Margin % Historical Data

The historical data trend for GEX Management'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.

GEX Management Gross Margin % Chart

GEX Management Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only 72.02 84.82 17.90 47.24 34.78

GEX Management 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 25.99 30.30 39.47 53.41 -8.17

Competitive Comparison of GEX Management's Gross Margin %

For the Staffing & Employment Services subindustry, GEX Management'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.


GEX Management's Gross Margin % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, GEX Management's Gross Margin % distribution charts can be found below:

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



GEX Management Gross Margin % Calculation

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

GEX Management'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 )
=0.7 / 2.096
=(Revenue - Cost of Goods Sold) / Revenue
=(2.096 - 1.367) / 2.096
=34.78 %

GEX Management'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 )
=-0 / 0.367
=(Revenue - Cost of Goods Sold) / Revenue
=(0.367 - 0.397) / 0.367
=-8.17 %

* 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.


GEX Management  (OTCPK:GXXM) 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

GEX Management had a gross margin of -8.17% for the quarter that ended in Dec. 2023 => 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.


GEX Management Gross Margin % Related Terms

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


GEX Management (GEX Management) Business Description

Traded in Other Exchanges
N/A
Address
3662 West Camp Wisdom Road, Dallas, TX, USA, 75237
GEX Management Inc is engaged in the business of providing business management and human resources solutions for small to midsize businesses. The company also provides staffing and back-office services to a wide variety of industries, and it earns revenue from its management consulting services.
Executives
Srikumar Vanamali director, 10 percent owner, officer: Interim CEO & Exec Director 12001 N CENTRAL EXPY, #825, DALLAS TX 75243
Shaheed Bailey director, 10 percent owner, officer: Interim Chief Invstmt Officer 39 F BROOKSIDE DRIVE, CLIFTON NJ 07054
Clayton Carter director, 10 percent owner, officer: Chief Financial Officer 325 N. ST. PAUL STREET, SUITE 1350, DALLAS TX 75201
Chelsea Christopherson director, 10 percent owner, officer: Chief Operating Officer 10931 STONE CANYON ROAD, APT 229, DALLAS TX 75243
Carl Dorvil director, 10 percent owner, officer: Chariman of the Board & CEO 1411 NEWCASTLE, ROCKWALL TX 75032