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OPG Power Ventures (LSE:OPG) Gross Margin % : 15.28% (As of Sep. 2023)


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What is OPG Power Ventures Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. OPG Power Ventures's Gross Profit for the six months ended in Sep. 2023 was £10.7 Mil. OPG Power Ventures's Revenue for the six months ended in Sep. 2023 was £69.9 Mil. Therefore, OPG Power Ventures's Gross Margin % for the quarter that ended in Sep. 2023 was 15.28%.

Warning Sign:

OPG Power Ventures PLC gross margin has been in long-term decline. The average rate of decline per year is -1.8%.


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

LSE:OPG' s Gross Margin % Range Over the Past 10 Years
Min: 19.53   Med: 37.93   Max: 50.25
Current: 19.53


During the past 13 years, the highest Gross Margin % of OPG Power Ventures was 50.25%. The lowest was 19.53%. And the median was 37.93%.

LSE:OPG's Gross Margin % is ranked worse than
72.26% of 393 companies
in the Utilities - Independent Power Producers industry
Industry Median: 35.34 vs LSE:OPG: 19.53

OPG Power Ventures had a gross margin of 15.28% for the quarter that ended in Sep. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for OPG Power Ventures was -1.80% per year.


OPG Power Ventures Gross Margin % Historical Data

The historical data trend for OPG Power Ventures'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.

OPG Power Ventures Gross Margin % Chart

OPG Power Ventures 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 34.76 41.53 39.36 29.43 27.98

OPG Power Ventures Semi-Annual Data
Mar14 Sep14 Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
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 26.14 36.92 26.88 28.92 15.28

Competitive Comparison of OPG Power Ventures's Gross Margin %

For the Utilities - Independent Power Producers subindustry, OPG Power Ventures'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.


OPG Power Ventures's Gross Margin % Distribution in the Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, OPG Power Ventures's Gross Margin % distribution charts can be found below:

* The bar in red indicates where OPG Power Ventures's Gross Margin % falls into.



OPG Power Ventures Gross Margin % Calculation

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

OPG Power Ventures'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 )
=16.4 / 58.683
=(Revenue - Cost of Goods Sold) / Revenue
=(58.683 - 42.263) / 58.683
=27.98 %

OPG Power Ventures's Gross Margin for the quarter that ended in Sep. 2023 is calculated as


Gross Margin % (Q: Sep. 2023 )=Gross Profit (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=10.7 / 69.868
=(Revenue - Cost of Goods Sold) / Revenue
=(69.868 - 59.194) / 69.868
=15.28 %

* 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.


OPG Power Ventures  (LSE:OPG) 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

OPG Power Ventures had a gross margin of 15.28% for the quarter that ended in Sep. 2023 => No sustainable 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.


OPG Power Ventures Gross Margin % Related Terms

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


OPG Power Ventures (LSE:OPG) Business Description

Traded in Other Exchanges
Address
55 Athol Street, Douglas, IMN, IM1 1LA
OPG Power Ventures PLC is engaged in the development, owning, operation and maintenance of private sector power projects in India. The electricity generated from the group's plants is sold principally to public sector undertakings and heavy industrial companies in India or in the short term market. The business objective of the group is to focus on the power generation business within India and thereby provide reliable, cost effective power to the industrial consumers and other users under the open access provisions mandated by the Government of India.

OPG Power Ventures (LSE:OPG) Headlines

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