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SEI Investments Co (SEI Investments Co) Gross Margin % : 50.48% (As of Dec. 2023)


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What is SEI Investments Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. SEI Investments Co's Gross Profit for the three months ended in Dec. 2023 was $245 Mil. SEI Investments Co's Revenue for the three months ended in Dec. 2023 was $485 Mil. Therefore, SEI Investments Co's Gross Margin % for the quarter that ended in Dec. 2023 was 50.48%.

Warning Sign:

SEI Investments Co gross margin has been in long-term decline. The average rate of decline per year is -1.6%.


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

SEIC' s Gross Margin % Range Over the Past 10 Years
Min: 51.26   Med: 54.73   Max: 56.72
Current: 51.3


During the past 13 years, the highest Gross Margin % of SEI Investments Co was 56.72%. The lowest was 51.26%. And the median was 54.73%.

SEIC's Gross Margin % is ranked worse than
50.28% of 531 companies
in the Asset Management industry
Industry Median: 51.29 vs SEIC: 51.30

SEI Investments Co had a gross margin of 50.48% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for SEI Investments Co was -1.60% per year.


SEI Investments Co Gross Margin % Historical Data

The historical data trend for SEI Investments 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.

* Premium members only.

SEI Investments Co Gross Margin % Chart

SEI Investments Co 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 55.80 56.17 56.72 52.50 51.26

SEI Investments 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 51.38 52.69 50.48 50.48 51.49

Competitive Comparison of SEI Investments Co's Gross Margin %

For the Asset Management subindustry, SEI Investments 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.


SEI Investments Co's Gross Margin % Distribution in the Asset Management Industry

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

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



SEI Investments Co Gross Margin % Calculation

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

SEI Investments 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 )
=984.1 / 1919.793
=(Revenue - Cost of Goods Sold) / Revenue
=(1919.793 - 935.651) / 1919.793
=51.26 %

SEI Investments Co'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 )
=244.7 / 484.858
=(Revenue - Cost of Goods Sold) / Revenue
=(484.858 - 240.119) / 484.858
=50.48 %

* 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.


SEI Investments Co  (NAS:SEIC) 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

SEI Investments Co had a gross margin of 50.48% for the quarter that ended in Dec. 2023 => 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.


SEI Investments Co Gross Margin % Related Terms

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


SEI Investments Co (SEI Investments Co) Business Description

Traded in Other Exchanges
Address
1 Freedom Valley Drive, Oaks, PA, USA, 19456
SEI Investments provides investment processing, management, and operations services to financial institutions, asset managers, asset owners, and financial advisors in four material segments: private banks, investment advisors, institutional investors, and investment managers. SEI also has a minority interest in LSV Asset Management, a value equity asset manager with about $99 billion in assets under management. As of December 2022, SEI (including LSV) manages, administers, or advises on over $1.2 trillion in assets.
Executives
West Alfred P Jr director, 10 percent owner, officer: Chairman and Chief Executive 1 FREEDOM VALLEY DRIVE, OAKS PA 19456
Carmen Romeo director, officer: Executive Vice President
Wayne Withrow officer: Executive Vice President
Stephanie D. Miller director 1 FREEDOM VALLEY DRIVE, OAKS PA 19456
Michael Peterson officer: EXECUTIVE VICE PRESIDENT GC 1 FREEDOM VALLEY DRIVE, OAKS X1 19456
Kathryn Mccarthy director ONE FREEDOM VALLEY DRIVE, OAKS PA 19456
Dennis Mcgonigle officer: Executive Vice President/CFO ONE FREEDOM VALLEY DRIVE, OAKS PA 19456
Ryan Hicke officer: Executive Vice President ONE FREEDOM VALLEY DRIVE, OAKS PA 19456
Mark Andrew Warner officer: VP, Controller and CAO 1 FREEDOM VALLEY DRIVE, OAKS PA 19456
Sarah Blumenstein director
Sanjay Sharma officer: EVP (*Remarks) ONE FREEDOM VALLEY DRIVE, OAKS PA 19456
Philip Mccabe officer: EVP - Head of Investment Mgr ONE FREEDOM VALLEY DRIVE, OAKS PA 19456
Kevin Barr officer: Executive Vice President 1 FREEDOM VALLEY DRIVE, OAKS PA 19456
Kathy Heilig officer: Controller/Senior Vice Preside
Jonathan Brassington director ONE FREEDOM VALLEY DRIVE, OAKS PA 19456