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Zee Learn (BOM:533287) Gross Margin % : 37.81% (As of Dec. 2023)


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What is Zee Learn Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Zee Learn's Gross Profit for the three months ended in Dec. 2023 was ₹256 Mil. Zee Learn's Revenue for the three months ended in Dec. 2023 was ₹677 Mil. Therefore, Zee Learn's Gross Margin % for the quarter that ended in Dec. 2023 was 37.81%.

Warning Sign:

Zee Learn Ltd 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 Zee Learn's Gross Margin % or its related term are showing as below:

BOM:533287' s Gross Margin % Range Over the Past 10 Years
Min: 57.74   Med: 73.06   Max: 83.21
Current: 68.23


During the past 13 years, the highest Gross Margin % of Zee Learn was 83.21%. The lowest was 57.74%. And the median was 73.06%.

BOM:533287's Gross Margin % is ranked better than
79.76% of 247 companies
in the Education industry
Industry Median: 47.88 vs BOM:533287: 68.23

Zee Learn had a gross margin of 37.81% for the quarter that ended in Dec. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Zee Learn was -1.60% per year.


Zee Learn Gross Margin % Historical Data

The historical data trend for Zee Learn'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.

Zee Learn Gross Margin % Chart

Zee Learn Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 71.82 73.06 77.73 77.73 69.80

Zee Learn 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 32.40 129.09 44.35 35.61 37.81

Competitive Comparison of Zee Learn's Gross Margin %

For the Education & Training Services subindustry, Zee Learn'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.


Zee Learn's Gross Margin % Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Zee Learn's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Zee Learn's Gross Margin % falls into.



Zee Learn Gross Margin % Calculation

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

Zee Learn's Gross Margin for the fiscal year that ended in Mar. 2023 is calculated as

Gross Margin % (A: Mar. 2023 )=Gross Profit (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=2261.8 / 3240.489
=(Revenue - Cost of Goods Sold) / Revenue
=(3240.489 - 978.701) / 3240.489
=69.80 %

Zee Learn'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 )
=256.1 / 677.333
=(Revenue - Cost of Goods Sold) / Revenue
=(677.333 - 421.207) / 677.333
=37.81 %

* 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.


Zee Learn  (BOM:533287) 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

Zee Learn had a gross margin of 37.81% 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.


Zee Learn Gross Margin % Related Terms

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


Zee Learn (BOM:533287) Business Description

Traded in Other Exchanges
Address
135, Dr. Annie Besant Road, Continental Building, Worli, Mumbai, MH, IND, 400 018
Zee Learn Ltd is engaged in the provision of educational services in India. The firm delivers learning solutions and training through its multiple products Kidzee, Mount Litera Zee Schools, Mount Litera World Preschool, Zee Institute of Media Arts (ZIMA), Zee Institute of Creative Arts (ZICA) and E-Learning Online Education and Testing. It operates through the Educational, Construction and Leasing for education and Training Manpower and related activities. The Educational segment provides learning solutions and delivers training. The Construction and Leasing segment consists of constructing and leasing properties for commercial use. The firm generates maximum revenue from its Educational segment.

Zee Learn (BOM:533287) Headlines

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