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nLight (nLight) Gross Margin % : 16.82% (As of Mar. 2024)


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What is nLight Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. nLight's Gross Profit for the three months ended in Mar. 2024 was $7.5 Mil. nLight's Revenue for the three months ended in Mar. 2024 was $44.5 Mil. Therefore, nLight's Gross Margin % for the quarter that ended in Mar. 2024 was 16.82%.

Warning Sign:

nLight Inc gross margin has been in long-term decline. The average rate of decline per year is -9%.


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

LASR' s Gross Margin % Range Over the Past 10 Years
Min: 21   Med: 27.64   Max: 34.99
Current: 21.97


During the past 8 years, the highest Gross Margin % of nLight was 34.99%. The lowest was 21.00%. And the median was 27.64%.

LASR's Gross Margin % is ranked worse than
63.21% of 973 companies
in the Semiconductors industry
Industry Median: 28.41 vs LASR: 21.97

nLight had a gross margin of 16.82% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for nLight was -9.00% per year.


nLight Gross Margin % Historical Data

The historical data trend for nLight'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.

nLight Gross Margin % Chart

nLight Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial 29.63 26.65 28.62 21.00 21.97

nLight 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 26.37 22.71 19.63 18.89 16.82

Competitive Comparison of nLight's Gross Margin %

For the Semiconductors subindustry, nLight'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.


nLight's Gross Margin % Distribution in the Semiconductors Industry

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

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



nLight Gross Margin % Calculation

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

nLight'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 )
=46.1 / 209.921
=(Revenue - Cost of Goods Sold) / Revenue
=(209.921 - 163.808) / 209.921
=21.97 %

nLight'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 )
=7.5 / 44.527
=(Revenue - Cost of Goods Sold) / Revenue
=(44.527 - 37.039) / 44.527
=16.82 %

* 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.


nLight  (NAS:LASR) 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

nLight had a gross margin of 16.82% 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.


nLight Gross Margin % Related Terms

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


nLight (nLight) Business Description

Traded in Other Exchanges
N/A
Address
4637 NW 18th Avenue, Camas, WA, USA, 98607
nLight Inc is a United States-based company engaged in providing semiconductor and fiber lasers for industrial, microfabrication, and aerospace and defense applications. It operates in two segments: Laser Products, which includes semiconductor lasers, fiber lasers, and directed energy products; and Advanced Development segment includes revenue earned from research and development contracts. The majority of its revenue is generated from the Laser segment. The company's geographical segments include North America, China, and the Rest of the world.
Executives
Joseph John Corso officer: Chief Financial Officer 4637 NW 18TH AVE, CAMAS WA 98607
James Nias officer: Chief Accounting Officer 4637 NW 18TH AVENUE, CAMAS WA 98607
Scott H Keeney director, officer: President and CEO 5408 NE 88TH STREET, BUILDING E, VANCOUVER WA 98665
Ran Bareket officer: CFO 1005 VIRGINIA DRIVE, FORT WASHINGTON PA 19034
Camille Nichols director 5408 NE 88TH STREET, BUILDING E, VANCOUVER WA 98665
Robert Martinsen officer: Chief Technical Officer 5408 NE 88TH STREET, BUILDING E, VANCOUVER WA 98665
Sixth Mdv Partners, L.l.c. 10 percent owner 777 MARINERS ISLAND BLVD., STE. 550, SAN MATEO CA 94404
David D. Osborne director 5408 NE 88TH STREET, BUILDING E, VANCOUVER WA 98665
Oak X Affiliates Fund Lp 10 percent owner 901 MAIN AVENUE, NORWALK CT 06851
Bandel L Carano director, 10 percent owner 525 UNIVERSITY AVENUE, SUITE 1300, PALO ALTO CA 94301
Douglas C Carlisle director, 10 percent owner 3000 SAND HILL RD, BLDG 4 STE 100, MENLO PARK CA 94025
Mv Management Ix Llc 10 percent owner 2884 SAND HILL ROAD, SUITE 100, MENLO PARK CA 94025
William Gossman director 5408 NE 88TH STREET, BUILDING E, VANCOUVER WA 98665
Menlo Entrepreneurs Fund Ix A Lp 10 percent owner 2884 SAND HILL RD, SUITE 100, MENLO PARK CA 94025
Menlo Entrepreneurs Fund Ix Lp 10 percent owner 3000 SAND HILL ROAD, BUILDING 4, SUITE 100, MENLO PARK CA 94025