DGL GroupASX:DGL -3.13%36 Gross Margin % is 43.48% as of Dec. 2025, which is 10% above its 10-year median of 39.36. GuruFocus rates ASX:DGL with a GF Score™ of 36/100 and a GF Value™ of A$0.61 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 1,565 Chemicals companies, DGL Group ranks better than 85.05% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. DGL Group's Gross Profit for the
six
months ended in Dec. 2025 was A$98.8 Mil. DGL Group's Revenue for the
six
months ended in Dec. 2025 was A$227.2 Mil. Therefore, DGL Group's Gross Margin % for the quarter that ended in Dec. 2025 was 43.48%.
The historical rank and industry rank for DGL Group's Gross Margin % or its related term are showing as below:
ASX:DGL'
s Gross Margin % Range Over the Past 10 Years
Min: 36.84 Med: 39.36 Max: 43.49
Current: 42.5
During the past 5 years, the highestGross Margin % of DGL Group was 43.49%. The lowest was 36.84%. And the median was 39.36%.
ASX:DGL's Gross Margin % is ranked better than 85.05% of 1565
companies
in the Chemicals industry
Industry Median: 23.38
vs ASX:DGL: 42.50
DGL Group had a gross margin of 43.48% for the quarter that ended in Dec. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for DGL Group was 0.00% per year.
DGL Group (ASX:DGL) 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
DGL Group had a gross margin of 43.48% for the quarter that ended in Dec. 2025 => 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.
DGL Group Gross Margin % Related Terms
DGL Group Gross Margin % Historical Data
* Premium members only.
The historical data trend for DGL Group'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.
ASX:DGL vs LIN, SHW, ECL: Gross Margin % Comparison
For the Specialty Chemicals subindustry, DGL Group'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.
DGL Group Gross Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, DGL Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where DGL Group's Gross Margin % falls into.
* 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.
DGL Group (ASX:DGL) has a Gross Margin % of 43.48% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on DGL Group and its competitors. This is 10% above median its historical median of 39.36. Over the past decade, DGL Group's Gross Margin % has ranged from 36.84 to 43.49. According to the industry distribution chart, DGL Group ranks #234 out of 1565 companies in the Chemicals industry, placing it in the top 15%.
Is DGL Group's Gross Margin % too high?
DGL Group's current Gross Margin % of 43.48% is 10% above median its 10-year median of 39.36. Over the past 10 years, this metric has ranged from a low of 36.84 to a high of 43.49. The Chemicals industry median Gross Margin % is 23.38. DGL Group's value of 43.48% is 86% above this industry median. Based on the distribution chart, DGL Group ranks #234 out of 1565 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers. Overall, DGL Group has a GF Score™ of 36/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does DGL Group's Gross Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, DGL Group ranks #234 out of 1565 companies for Gross Margin %. This places DGL Group in the top 15% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 23.38. DGL Group's value of 43.48% is 86% above this benchmark. Historically, DGL Group's own Gross Margin % has ranged from 36.84 to 43.49 over the past decade. While the company's 10-year median is 39.36 vs. the industry median of 23.38, DGL Group has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Chemicals company?
The median Gross Margin % among Chemicals companies is 23.38, based on 1,565 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. DGL Group's current Gross Margin % of 43.48% is 86% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on DGL Group and its competitors. For the Chemicals industry, the median Gross Margin % is 23.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. DGL Group's current Gross Margin % is 43.48%, which is 10% above median its own 10-year median of 39.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is DGL Group stock overvalued right now?
Based on GuruFocus' analysis, DGL Group (ASX:DGL) is currently considered Possible Value Trap. The stock's GF Value™ is A$0.61, compared to a current price of A$0.31 — trading 49.2% below its estimated fair value. The current Gross Margin % is 43.48%, which is 10% above median its 10-year median of 39.36 and 86% above the Chemicals industry median of 23.38. DGL Group's overall GF Score™ is 36/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For DGL Group (ASX:DGL), the current Gross Margin % is 43.48% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is DGL Group (ASX:DGL) Overvalued in 2026?
Based on GuruFocus' analysis, DGL Group stock appears to be undervalued.
The current stock price of A$0.31 is trading 49.2% below its estimated GF Value™ of A$0.61.
GuruFocus considers DGL Group to be Possible Value Trap.
Key valuation signals for ASX:DGL:
Gross Margin %: 43.48% (10% above median its 10-year median of 39.36)
GF Value™: A$0.61 vs. price of A$0.31 (49.2% below fair value)
Industry Position: 86% above the Chemicals median (#234 of 1565)
No single metric tells the full story. See the ASX:DGL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
DGL Group Ltd is an investment holding company. The company's segment includes Chemical Manufacturing, Logistics and Environmental Services. It generates maximum revenue from the Chemical Manufacturing segment. The Chemical Manufacturing segment produces its own range of speciality chemicals and undertakes formulation and contract manufacturing on behalf of third parties.
36GF Score
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