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NCT Alliance Bhd (XKLS:0056) Gross Margin % : 36.08% (As of Dec. 2023)


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What is NCT Alliance Bhd Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. NCT Alliance Bhd's Gross Profit for the three months ended in Dec. 2023 was RM29.4 Mil. NCT Alliance Bhd's Revenue for the three months ended in Dec. 2023 was RM81.5 Mil. Therefore, NCT Alliance Bhd's Gross Margin % for the quarter that ended in Dec. 2023 was 36.08%.


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

XKLS:0056' s Gross Margin % Range Over the Past 10 Years
Min: 16.88   Med: 27.47   Max: 40.68
Current: 37.13


During the past 13 years, the highest Gross Margin % of NCT Alliance Bhd was 40.68%. The lowest was 16.88%. And the median was 27.47%.

XKLS:0056's Gross Margin % is ranked worse than
56.26% of 2636 companies
in the Software industry
Industry Median: 41.84 vs XKLS:0056: 37.13

NCT Alliance Bhd had a gross margin of 36.08% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for NCT Alliance Bhd was 13.20% per year.


NCT Alliance Bhd Gross Margin % Historical Data

The historical data trend for NCT Alliance Bhd'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.

NCT Alliance Bhd Gross Margin % Chart

NCT Alliance Bhd Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 16.88 27.08 35.50 40.68 37.13

NCT Alliance Bhd Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 Premium Member Only Premium Member Only Premium Member Only 44.93 39.30 41.54 33.69 36.08

Competitive Comparison of NCT Alliance Bhd's Gross Margin %

For the Information Technology Services subindustry, NCT Alliance Bhd'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.


NCT Alliance Bhd's Gross Margin % Distribution in the Software Industry

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

* The bar in red indicates where NCT Alliance Bhd's Gross Margin % falls into.



NCT Alliance Bhd Gross Margin % Calculation

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

NCT Alliance Bhd'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 )
=103.8 / 279.479
=(Revenue - Cost of Goods Sold) / Revenue
=(279.479 - 175.707) / 279.479
=37.13 %

NCT Alliance Bhd'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 )
=29.4 / 81.454
=(Revenue - Cost of Goods Sold) / Revenue
=(81.454 - 52.064) / 81.454
=36.08 %

* 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.


NCT Alliance Bhd  (XKLS:0056) 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

NCT Alliance Bhd had a gross margin of 36.08% for the quarter that ended in Dec. 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.


NCT Alliance Bhd Gross Margin % Related Terms

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


NCT Alliance Bhd (XKLS:0056) Business Description

Traded in Other Exchanges
N/A
Address
No. 2, Jalan BP 4/9, Menara NCT, Bandar Bukit Puchong, Puchong, SGR, MYS, 47100
NCT Alliance Bhd, formerly Grand-Flo Bhd is an investment holding company, engaged in the provision of data management and collaboration solutions. The business activity of the firm is operated through Enterprise Data Collection and Collation System (EDCCS), Labels, and Property Development. It derives the majority of revenue from the EDCCS segment which involves the supply and installation of Enterprise Data Collection and Collation System and hardware, information technology solutions, computer related accessories and integrating computer system and hardwa. Geographically the business presence of the firm is seen across the region of Malaysia, Hong Kong, and China.

NCT Alliance Bhd (XKLS:0056) Headlines

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