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LEEL Electricals (NSE:LEEL) Gross Margin % : 17.89% (As of Mar. 2018)


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What is LEEL Electricals Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. LEEL Electricals's Gross Profit for the six months ended in Mar. 2018 was ₹4,170 Mil. LEEL Electricals's Revenue for the six months ended in Mar. 2018 was ₹23,306 Mil. Therefore, LEEL Electricals's Gross Margin % for the quarter that ended in Mar. 2018 was 17.89%.


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


NSE:LEEL's Gross Margin % is not ranked *
in the Industrial Products industry.
Industry Median: 26.44
* Ranked among companies with meaningful Gross Margin % only.

LEEL Electricals had a gross margin of 17.89% for the quarter that ended in Mar. 2018 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for LEEL Electricals was 0.00% per year.


LEEL Electricals Gross Margin % Historical Data

The historical data trend for LEEL Electricals'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.

LEEL Electricals Gross Margin % Chart

LEEL Electricals Annual Data
Trend Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 Mar15 Mar16 Mar17 Mar18
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 24.69 24.48 23.52 21.00 17.89

LEEL Electricals Semi-Annual Data
Mar07 Mar08 Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 Mar15 Mar16 Mar17 Mar18
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 24.69 24.48 23.52 21.00 17.89

Competitive Comparison of LEEL Electricals's Gross Margin %

For the Specialty Industrial Machinery subindustry, LEEL Electricals'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.


LEEL Electricals's Gross Margin % Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, LEEL Electricals's Gross Margin % distribution charts can be found below:

* The bar in red indicates where LEEL Electricals's Gross Margin % falls into.



LEEL Electricals Gross Margin % Calculation

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

LEEL Electricals's Gross Margin for the fiscal year that ended in Mar. 2018 is calculated as

Gross Margin % (A: Mar. 2018 )=Gross Profit (A: Mar. 2018 ) / Revenue (A: Mar. 2018 )
=4169.6 / 23305.9
=(Revenue - Cost of Goods Sold) / Revenue
=(23305.9 - 19136.3) / 23305.9
=17.89 %

LEEL Electricals's Gross Margin for the quarter that ended in Mar. 2018 is calculated as


Gross Margin % (Q: Mar. 2018 )=Gross Profit (Q: Mar. 2018 ) / Revenue (Q: Mar. 2018 )
=4169.6 / 23305.9
=(Revenue - Cost of Goods Sold) / Revenue
=(23305.9 - 19136.3) / 23305.9
=17.89 %

* 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.


LEEL Electricals  (NSE:LEEL) 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

LEEL Electricals had a gross margin of 17.89% for the quarter that ended in Mar. 2018 => 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.


LEEL Electricals Gross Margin % Related Terms

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LEEL Electricals (NSE:LEEL) Business Description

Traded in Other Exchanges
N/A
Address
159, Okhla Industrial Estate, Phase - III, New Delhi, Delhi, IND, 110020
LEEL Electricals Ltd is an India-based heat exchangers coils manufacturer. It manufactures air conditioners for various brands including its own brand of LLOYD. The company also manufactures consumer durable business under Lloyd brand which includes product portfolio like Air-Conditioner, LED TV, Washing Machines, Chest Freezers and other small home appliances. Lloyd's segments are OEM and Packaged Air conditioning Segment, and Heat Exchangers and Components Segments but OEM and Packaged Air conditioning Segment generates the majority of the revenue.

LEEL Electricals (NSE:LEEL) Headlines

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