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DHH SPA (MIL:DHH) Gross Margin % : 55.86% (As of Dec. 2023)


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What is DHH SPA Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. DHH SPA's Gross Profit for the six months ended in Dec. 2023 was €9.80 Mil. DHH SPA's Revenue for the six months ended in Dec. 2023 was €17.55 Mil. Therefore, DHH SPA's Gross Margin % for the quarter that ended in Dec. 2023 was 55.86%.


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

MIL:DHH' s Gross Margin % Range Over the Past 10 Years
Min: 31.76   Med: 43.2   Max: 57.12
Current: 54.67


During the past 9 years, the highest Gross Margin % of DHH SPA was 57.12%. The lowest was 31.76%. And the median was 43.20%.

MIL:DHH's Gross Margin % is ranked better than
63.31% of 2641 companies
in the Software industry
Industry Median: 41.84 vs MIL:DHH: 54.67

DHH SPA had a gross margin of 55.86% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for DHH SPA was 6.50% per year.


DHH SPA Gross Margin % Historical Data

The historical data trend for DHH SPA'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.

DHH SPA Gross Margin % Chart

DHH SPA Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only 40.77 44.86 57.12 51.64 54.67

DHH SPA Semi-Annual Data
Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 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 59.28 51.21 51.94 53.45 55.86

Competitive Comparison of DHH SPA's Gross Margin %

For the Software - Infrastructure subindustry, DHH SPA'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.


DHH SPA's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, DHH SPA's Gross Margin % distribution charts can be found below:

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



DHH SPA Gross Margin % Calculation

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

DHH SPA'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 )
=18.9 / 34.627
=(Revenue - Cost of Goods Sold) / Revenue
=(34.627 - 15.698) / 34.627
=54.67 %

DHH SPA'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 )
=9.8 / 17.55
=(Revenue - Cost of Goods Sold) / Revenue
=(17.55 - 7.747) / 17.55
=55.86 %

* 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.


DHH SPA  (MIL:DHH) 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

DHH SPA had a gross margin of 55.86% for the quarter that ended in Dec. 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.


DHH SPA Gross Margin % Related Terms

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


DHH SPA (MIL:DHH) Business Description

Traded in Other Exchanges
N/A
Address
Via Caldera 21, Milan, ITA, 20153
DHH SPA technology focused on the provisioning of integrated B2B cloud & internet services in Italy, Switzerland, and Southeast Europe. The company's segment includes IaaS (Infrastructure as a Service), PaaS (Platform as a Service), SaaS (Software as a Service), Internet access, Datacenter & Networking, and Managed Services. It generates the majority of the revenue from the IaaS (Infrastructure as a Service) which sales of servers, storage, and networks.

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