Saferoads HoldingsASX:SRH -1.03% Gross Margin % is 38.59% as of Dec. 2025, which is 7% below its 10-year median of 41.33. The stock has 4 warning signs investors should review. Among 153 Industrial Distribution companies, Saferoads Holdings ranks better than 56.86% on this metric.
The historical rank and industry rank for Saferoads Holdings's Gross Margin % or its related term are showing as below:
ASX:SRH'
s Gross Margin % Range Over the Past 10 Years
Min: 27.57 Med: 41.33 Max: 56.03
Current: 27.57
During the past 13 years, the highestGross Margin % of Saferoads Holdings was 56.03%. The lowest was 27.57%. And the median was 41.33%.
ASX:SRH's Gross Margin % is ranked better than 56.86% of 153
companies
in the Industrial Distribution industry
Industry Median: 24.34
vs ASX:SRH: 27.57
Saferoads Holdings had a gross margin of 38.59% for the quarter that ended in Dec. 2025 => Competition eroding margins
The 5-Year average Growth Rate of Gross Margin for Saferoads Holdings was 3.50% per year.
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
Saferoads Holdings had a gross margin of 38.59% for the quarter that ended in Dec. 2025 => 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.
Saferoads Holdings Gross Margin % Related Terms
Saferoads Holdings Gross Margin % Historical Data
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The historical data trend for Saferoads Holdings'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:SRH vs GWW, FAST, FERG: Gross Margin % Comparison
For the Industrial Distribution subindustry, Saferoads Holdings'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.
Saferoads Holdings Gross Margin % vs Industrial Distribution Industry
For the Industrial Distribution industry and Industrials sector, Saferoads Holdings's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Saferoads Holdings'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.
Saferoads Holdings (ASX:SRH) has a Gross Margin % of 38.59% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Saferoads Holdings and its competitors. This is near median its historical median of 41.33. Over the past decade, Saferoads Holdings' Gross Margin % has ranged from 27.57 to 56.03. According to the industry distribution chart, Saferoads Holdings ranks #66 out of 153 companies in the Industrial Distribution industry, placing it in the top 43.1%.
Is Saferoads Holdings' Gross Margin % too high?
Saferoads Holdings' current Gross Margin % of 38.59% is near median its 10-year median of 41.33. Over the past 10 years, this metric has ranged from a low of 27.57 to a high of 56.03. The Industrial Distribution industry median Gross Margin % is 24.34. Saferoads Holdings' value of 38.59% is 58.5% above this industry median. Based on the distribution chart, Saferoads Holdings ranks #66 out of 153 companies in the Industrial Distribution industry, which is above the industry midpoint.
How does Saferoads Holdings' Gross Margin % compare to GWW and FAST?
According to the Industrial Distribution industry distribution chart, Saferoads Holdings ranks #66 out of 153 companies for Gross Margin %. This puts Saferoads Holdings in the upper half of its industry. The industry median Gross Margin % is 24.34. Saferoads Holdings' value of 38.59% is 58.5% above this benchmark. Historically, Saferoads Holdings' own Gross Margin % has ranged from 27.57 to 56.03 over the past decade. While the company's 10-year median is 41.33 vs. the industry median of 24.34, Saferoads Holdings 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 an Industrial Distribution company?
The median Gross Margin % among Industrial Distribution companies is 24.34, based on 153 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. Saferoads Holdings's current Gross Margin % of 38.59% is 58.5% 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 Saferoads Holdings and its competitors. For the Industrial Distribution industry, the median Gross Margin % is 24.34 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Saferoads Holdings's current Gross Margin % is 38.59%, which is near median its own 10-year median of 41.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Saferoads Holdings stock overvalued right now?
Based on GuruFocus' analysis, Saferoads Holdings (ASX:SRH) is currently considered Significantly Overvalued. The stock's GF Value™ is A$0.04, compared to a current price of A$0.10 — trading 140% above its estimated fair value. The current Gross Margin % is 38.59%, which is near median its 10-year median of 41.33 and 58.5% above the Industrial Distribution industry median of 24.34. 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 Saferoads Holdings (ASX:SRH), the current Gross Margin % is 38.59% 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.
Saferoads Holdings Ltd is is an Australia-based company engaged in providing road safety products and solutions to State and Local Governments, road construction companies, and hire companies. Its products and services include flexible guide posts; rubber or plastic roundabouts and pedestrian islands; variable message sign boards; decorative and standard street and freeway light poles; traffic signals; crash cushions and barriers; and guardrail and wire rope safety barriers. The company operates predominantly in Australia.
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