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Leonteq AG (XSWX:LEON) Gross Margin % : 32.15% (As of Dec. 2023)


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What is Leonteq AG Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Leonteq AG's Gross Profit for the six months ended in Dec. 2023 was CHF28.9 Mil. Leonteq AG's Revenue for the six months ended in Dec. 2023 was CHF90.0 Mil. Therefore, Leonteq AG's Gross Margin % for the quarter that ended in Dec. 2023 was 32.15%.

Warning Sign:

Leonteq AG gross margin has been in long-term decline. The average rate of decline per year is -9.9%.


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

XSWX:LEON' s Gross Margin % Range Over the Past 10 Years
Min: 33.14   Med: 53.8   Max: 63.49
Current: 37.31


During the past 13 years, the highest Gross Margin % of Leonteq AG was 63.49%. The lowest was 33.14%. And the median was 53.80%.

XSWX:LEON's Gross Margin % is ranked worse than
62.76% of 537 companies
in the Asset Management industry
Industry Median: 51.39 vs XSWX:LEON: 37.31

Leonteq AG had a gross margin of 32.15% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Leonteq AG was -9.90% per year.


Leonteq AG Gross Margin % Historical Data

The historical data trend for Leonteq AG'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.

Leonteq AG Gross Margin % Chart

Leonteq AG 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 53.76 63.49 53.84 33.14 37.31

Leonteq AG Semi-Annual Data
Jun14 Dec14 Jun15 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 Premium Member Only Premium Member Only Premium Member Only 52.86 26.69 40.00 41.05 32.15

Competitive Comparison of Leonteq AG's Gross Margin %

For the Asset Management subindustry, Leonteq AG'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.


Leonteq AG's Gross Margin % Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Leonteq AG's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Leonteq AG's Gross Margin % falls into.



Leonteq AG Gross Margin % Calculation

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

Leonteq AG'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 )
=79.8 / 213.925
=(Revenue - Cost of Goods Sold) / Revenue
=(213.925 - 134.118) / 213.925
=37.31 %

Leonteq AG'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 )
=28.9 / 89.997
=(Revenue - Cost of Goods Sold) / Revenue
=(89.997 - 61.062) / 89.997
=32.15 %

* 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.


Leonteq AG  (XSWX:LEON) 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

Leonteq AG had a gross margin of 32.15% 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.


Leonteq AG Gross Margin % Related Terms

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


Leonteq AG (XSWX:LEON) Business Description

Traded in Other Exchanges
Address
Europaallee 39, Zurich, CHE, 8004
Leonteq AG is a Swiss fintech company with a marketplace for structured investment solutions. Based on proprietary modern technology, the company offers derivative investment products and services. Leonteq acts as both a direct issuer of its own products and as a partner to other financial institutions. Leonteq further enables life insurance companies and banks to produce capital-efficient, unit-linked pension products with guarantees. The company has a presence in its home market of Switzerland and Europe, as well as an established footprint in Asia.

Leonteq AG (XSWX:LEON) Headlines

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