Surface Transforms (LSE:SCE) Gross Margin % : 59.69% (As of Jun. 2023)

Surface Transforms Gross Margin % Chart

Surface Transforms Annual Data
	Trend	May13	May14	May15	May16	May17	May18	May19	Dec20	Dec21	Dec22
Gross Margin %		Get a 7-Day Free Trial					67.35	61.58	67.11	65.34	60.18

Surface Transforms Semi-Annual Data
	Nov13	May14	Nov14	May15	Nov15	May16	Nov16	May17	Nov17	May18	Nov18	May19	Nov19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23
Gross Margin %	Get a 7-Day Free Trial															61.97	68.85	59.99	60.42	59.69

Competitive Comparison of Surface Transforms's Gross Margin %

For the Auto Parts subindustry, Surface Transforms'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.

Surface Transforms's Gross Margin % Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Surface Transforms's Gross Margin % distribution charts can be found below:

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

Surface Transforms Gross Margin % Calculation

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

Surface Transforms's Gross Margin for the fiscal year that ended in Dec. 2022 is calculated as

Surface Transforms's Gross Margin for the quarter that ended in Jun. 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.

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.

Surface Transforms  (LSE:SCE) 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

Surface Transforms had a gross margin of 59.69% for the quarter that ended in Jun. 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.

Surface Transforms Gross Margin % Related Terms

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Surface Transforms (LSE:SCE) Business Description