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Chatwork Co (TSE:4448) Gross Margin % : 65.57% (As of Mar. 2024)


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What is Chatwork Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Chatwork Co's Gross Profit for the three months ended in Mar. 2024 was 円1,269 Mil. Chatwork Co's Revenue for the three months ended in Mar. 2024 was 円1,935 Mil. Therefore, Chatwork Co's Gross Margin % for the quarter that ended in Mar. 2024 was 65.57%.


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

TSE:4448' s Gross Margin % Range Over the Past 10 Years
Min: 51.35   Med: 63.89   Max: 72.9
Current: 64.21


During the past 7 years, the highest Gross Margin % of Chatwork Co was 72.90%. The lowest was 51.35%. And the median was 63.89%.

TSE:4448's Gross Margin % is ranked better than
72.39% of 2640 companies
in the Software industry
Industry Median: 41.76 vs TSE:4448: 64.21

Chatwork Co had a gross margin of 65.57% for the quarter that ended in Mar. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Chatwork Co was 2.70% per year.


Chatwork Co Gross Margin % Historical Data

The historical data trend for Chatwork Co'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.

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Chatwork Co Gross Margin % Chart

Chatwork Co Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial 62.18 72.90 70.54 69.40 63.89

Chatwork Co 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 64.62 60.96 63.33 66.19 65.57

Competitive Comparison of Chatwork Co's Gross Margin %

For the Software - Application subindustry, Chatwork Co'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.


Chatwork Co's Gross Margin % Distribution in the Software Industry

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

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



Chatwork Co Gross Margin % Calculation

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

Chatwork Co'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 )
=4143.4 / 6485.207
=(Revenue - Cost of Goods Sold) / Revenue
=(6485.207 - 2341.817) / 6485.207
=63.89 %

Chatwork Co'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 )
=1268.5 / 1934.557
=(Revenue - Cost of Goods Sold) / Revenue
=(1934.557 - 666.02) / 1934.557
=65.57 %

* 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.


Chatwork Co  (TSE:4448) 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

Chatwork Co had a gross margin of 65.57% for the quarter that ended in Mar. 2024 => 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.


Chatwork Co Gross Margin % Related Terms

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Chatwork Co (TSE:4448) Business Description

Traded in Other Exchanges
N/A
Address
3-4-30-7th Floor, Shiba Park, Minato-ku, Tokyo, JPN, 105-0011
Chatwork Co Ltd is a Japanese based company which develops and provides business communication tool that replaces email, phone calls, and meetings for the purpose of improving business efficiency and company growth.

Chatwork Co (TSE:4448) Headlines

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