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Network People Services Technologies (NSE:NPST) Gross Margin % : 38.11% (As of Sep. 2023)


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What is Network People Services Technologies Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Network People Services Technologies's Gross Profit for the six months ended in Sep. 2023 was ₹199.9 Mil. Network People Services Technologies's Revenue for the six months ended in Sep. 2023 was ₹524.4 Mil. Therefore, Network People Services Technologies's Gross Margin % for the quarter that ended in Sep. 2023 was 38.11%.


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

NSE:NPST' s Gross Margin % Range Over the Past 10 Years
Min: 21.15   Med: 30.81   Max: 42.82
Current: 40.23


During the past 5 years, the highest Gross Margin % of Network People Services Technologies was 42.82%. The lowest was 21.15%. And the median was 30.81%.

NSE:NPST's Gross Margin % is ranked worse than
51.93% of 2636 companies
in the Software industry
Industry Median: 41.84 vs NSE:NPST: 40.23

Network People Services Technologies had a gross margin of 38.11% for the quarter that ended in Sep. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Network People Services Technologies was 0.00% per year.


Network People Services Technologies Gross Margin % Historical Data

The historical data trend for Network People Services Technologies'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.

Network People Services Technologies Gross Margin % Chart

Network People Services Technologies Annual Data
Trend Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
28.96 21.15 30.81 32.84 42.82

Network People Services Technologies Semi-Annual Data
Mar19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
Gross Margin % Get a 7-Day Free Trial Premium Member Only 25.89 37.65 39.69 43.74 38.11

Competitive Comparison of Network People Services Technologies's Gross Margin %

For the Software - Application subindustry, Network People Services Technologies'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.


Network People Services Technologies's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Network People Services Technologies's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Network People Services Technologies's Gross Margin % falls into.



Network People Services Technologies Gross Margin % Calculation

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

Network People Services Technologies's Gross Margin for the fiscal year that ended in Mar. 2023 is calculated as

Gross Margin % (A: Mar. 2023 )=Gross Profit (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=174.9 / 408.424
=(Revenue - Cost of Goods Sold) / Revenue
=(408.424 - 233.545) / 408.424
=42.82 %

Network People Services Technologies's Gross Margin for the quarter that ended in Sep. 2023 is calculated as


Gross Margin % (Q: Sep. 2023 )=Gross Profit (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=199.9 / 524.389
=(Revenue - Cost of Goods Sold) / Revenue
=(524.389 - 324.526) / 524.389
=38.11 %

* 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.


Network People Services Technologies  (NSE:NPST) 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

Network People Services Technologies had a gross margin of 38.11% for the quarter that ended in Sep. 2023 => Competition eroding margins


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.


Network People Services Technologies Gross Margin % Related Terms

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Network People Services Technologies (NSE:NPST) Business Description

Traded in Other Exchanges
N/A
Address
Road No. 22, 306, 3rd Floor, Lodha Supremus II, Wagle Industrial Estate, Thane (West), Mumbai, MH, IND, 400604
Network People Services Technologies Ltd is a banking technology service provider that offers software and mobility solutions to the banking and finance sector. It offers digital transformation solutions such as IMPS, Digital Wallet, UPI, and other smart art solutions. The company further offers software designing, consulting, development, and manpower provisioning services.

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