GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Education » G8 Education Ltd (ASX:GEM) » Definitions » Gross Profit

G8 Education (ASX:GEM) Gross Profit : A$947.2 Mil (TTM As of Dec. 2023)


View and export this data going back to 2007. Start your Free Trial

What is G8 Education Gross Profit?

G8 Education's gross profit for the six months ended in Dec. 2023 was A$533.8 Mil. G8 Education's gross profit for the trailing twelve months (TTM) ended in Dec. 2023 was A$947.2 Mil.

Gross Margin % is calculated as gross profit divided by its revenue. G8 Education's gross profit for the six months ended in Dec. 2023 was A$533.8 Mil. G8 Education's Revenue for the six months ended in Dec. 2023 was A$528.1 Mil. Therefore, G8 Education's Gross Margin % for the quarter that ended in Dec. 2023 was 101.07%.

G8 Education had a gross margin of 101.07% for the quarter that ended in Dec. 2023 => Durable competitive advantage

During the past 13 years, the highest Gross Margin % of G8 Education was 96.31%. The lowest was 87.45%. And the median was 92.60%.


G8 Education Gross Profit Historical Data

The historical data trend for G8 Education's Gross Profit 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.

G8 Education Gross Profit Chart

G8 Education Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Profit
Get a 7-Day Free Trial Premium Member Only Premium Member Only 848.99 538.88 811.38 866.14 947.16

G8 Education Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Gross Profit 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 434.42 371.89 494.24 413.39 533.77

Competitive Comparison of G8 Education's Gross Profit

For the Education & Training Services subindustry, G8 Education's Gross Profit, along with its competitors' market caps and Gross Profit 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.


G8 Education's Gross Profit Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, G8 Education's Gross Profit distribution charts can be found below:

* The bar in red indicates where G8 Education's Gross Profit falls into.



G8 Education Gross Profit Calculation

Gross Profit is the different between the sale prices and the cost of buying or producing the goods.

G8 Education's Gross Profit for the fiscal year that ended in Dec. 2023 is calculated as

Gross Profit (A: Dec. 2023 )=Revenue - Cost of Goods Sold
=983.438 - 36.278
=947.2

G8 Education's Gross Profit for the quarter that ended in Dec. 2023 is calculated as

Gross Profit (Q: Dec. 2023 )=Revenue - Cost of Goods Sold
=528.099 - -5.6669999999999
=533.8

Gross Profit for the trailing twelve months (TTM) ended in Dec. 2023 adds up the semi-annually data reported by the company within the most recent 12 months, which was A$947.2 Mil.

Gross Profit is the numerator in the calculation of Gross Margin.

G8 Education'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 )
=(Revenue - Cost of Goods Sold) / Revenue
=533.8 / 528.099
=101.07 %

* 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.


G8 Education  (ASX:GEM) Gross Profit 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

G8 Education had a gross margin of 101.07% for the quarter that ended in Dec. 2023 => Durable competitive advantage


G8 Education Gross Profit Related Terms

Thank you for viewing the detailed overview of G8 Education's Gross Profit provided by GuruFocus.com. Please click on the following links to see related term pages.


G8 Education (ASX:GEM) Business Description

Traded in Other Exchanges
Address
159 Varsity Parade, Varsity Lakes, Gold Coast, QLD, AUS, 4227
G8 Education Ltd operates a portfolio of around 438 childcare centres in Australia, implying a market share of less than 10%. The company relies on government subsidies, which comprise around 60% of childcare fees, but we expect subsidies to grow with childcare demand. G8 does not own the buildings from which its childcare centres operate, and labour costs comprise around 60% of revenue. Rental costs comprise around 10-15%.