Indian Hume Pipe Co (BOM:504741) Gross Margin %: 22.84% (As of Mar. 2026) — 15% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

BOM:504741 Indian Hume Pipe Co Ltd BOM:504741
61 GF Score
Price ₹413.80
GF Value ₹328.97
Valuation Modestly Overvalued
! 5 Warning Signs
View Full Analysis

What is Indian Hume Pipe Co Gross Margin %?

Indian Hume Pipe Co BOM:504741 +12.68% 61 Gross Margin % is 22.84% as of Mar. 2026, which is 15% above its 10-year median of 19.79. GuruFocus rates BOM:504741 with a GF Score™ of 61/100 and a GF Value™ of ₹328.97 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 1,722 Construction companies, Indian Hume Pipe Co ranks better than 55.46% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Indian Hume Pipe Co's Gross Profit for the three months ended in Mar. 2026 was ₹802 Mil. Indian Hume Pipe Co's Revenue for the three months ended in Mar. 2026 was ₹3,513 Mil. Therefore, Indian Hume Pipe Co's Gross Margin % for the quarter that ended in Mar. 2026 was 22.84%.


The historical rank and industry rank for Indian Hume Pipe Co's Gross Margin % or its related term are showing as below:

BOM:504741' s Gross Margin % Range Over the Past 10 Years
Min: 16.6   Med: 19.79   Max: 23.47
Current: 23.47


During the past 13 years, the highest Gross Margin % of Indian Hume Pipe Co was 23.47%. The lowest was 16.60%. And the median was 19.79%.

BOM:504741's Gross Margin % is ranked better than
55.46% of 1722 companies
in the Construction industry
Industry Median: 20.7 vs BOM:504741: 23.47

Indian Hume Pipe Co had a gross margin of 22.84% for the quarter that ended in Mar. 2026 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Indian Hume Pipe Co was 7.00% per year.


Indian Hume Pipe Co  (BOM:504741) 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

Indian Hume Pipe Co had a gross margin of 22.84% for the quarter that ended in Mar. 2026 => 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.


Indian Hume Pipe Co Gross Margin % Related Terms


Indian Hume Pipe Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Indian Hume Pipe Co'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.

Indian Hume Pipe Co Gross Margin % Chart

Indian Hume Pipe Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 17.35 16.60 21.81 22.77 23.25

Indian Hume Pipe Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 25.20 23.40 26.02 21.03 22.84

BOM:504741 vs PWR, FIX, EME: Gross Margin % Comparison

For the Engineering & Construction subindustry, Indian Hume Pipe Co'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.


Indian Hume Pipe Co Gross Margin % vs Construction Industry

For the Construction industry and Industrials sector, Indian Hume Pipe Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Indian Hume Pipe Co's Gross Margin % falls into.


BOM:504741
61GF Score
Indian Hume Pipe Co Ltd BOM:504741
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Indian Hume Pipe Co Gross Margin % Calculation

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

Indian Hume Pipe Co's Gross Margin for the fiscal year that ended in Mar. 2026 is calculated as

Gross Margin % (A: Mar. 2026 )=Gross Profit (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=3026.6 / 13017.946
=(Revenue - Cost of Goods Sold) / Revenue
=(13017.946 - 9991.35) / 13017.946
=23.25 %

Indian Hume Pipe Co's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=802.5 / 3512.975
=(Revenue - Cost of Goods Sold) / Revenue
=(3512.975 - 2710.492) / 3512.975
=22.84 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 22.84% mean?
Indian Hume Pipe Co (BOM:504741) has a Gross Margin % of 22.84% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Indian Hume Pipe Co and its competitors. This is 15% above median its historical median of 19.79. Over the past decade, Indian Hume Pipe Co's Gross Margin % has ranged from 16.60 to 23.47. According to the industry distribution chart, Indian Hume Pipe Co ranks #767 out of 1722 companies in the Construction industry, placing it in the top 44.5%.
Is Indian Hume Pipe Co's Gross Margin % too high?
Indian Hume Pipe Co's current Gross Margin % of 22.84% is 15% above median its 10-year median of 19.79. Over the past 10 years, this metric has ranged from a low of 16.60 to a high of 23.47. The Construction industry median Gross Margin % is 20.70. Indian Hume Pipe Co's value of 22.84% is 10.3% above this industry median. Based on the distribution chart, Indian Hume Pipe Co ranks #767 out of 1722 companies in the Construction industry, which is above the industry midpoint. Overall, Indian Hume Pipe Co has a GF Score™ of 61/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Indian Hume Pipe Co's Gross Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, Indian Hume Pipe Co ranks #767 out of 1722 companies for Gross Margin %. This puts Indian Hume Pipe Co in the upper half of its industry. The industry median Gross Margin % is 20.70. Indian Hume Pipe Co's value of 22.84% is 10.3% above this benchmark. Historically, Indian Hume Pipe Co's own Gross Margin % has ranged from 16.60 to 23.47 over the past decade. While the company's 10-year median is 19.79 vs. the industry median of 20.70, Indian Hume Pipe Co 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 Construction company?
The median Gross Margin % among Construction companies is 20.70, based on 1,722 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. Indian Hume Pipe Co's current Gross Margin % of 22.84% is 10.3% 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 Indian Hume Pipe Co and its competitors. For the Construction industry, the median Gross Margin % is 20.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Indian Hume Pipe Co's current Gross Margin % is 22.84%, which is 15% above median its own 10-year median of 19.79. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Indian Hume Pipe Co stock overvalued right now?
Based on GuruFocus' analysis, Indian Hume Pipe Co (BOM:504741) is currently considered Modestly Overvalued. The stock's GF Value™ is ₹328.97, compared to a current price of ₹413.80 — trading 25.8% above its estimated fair value. The current Gross Margin % is 22.84%, which is 15% above median its 10-year median of 19.79 and 10.3% above the Construction industry median of 20.70. Indian Hume Pipe Co's overall GF Score™ is 61/100 with 5 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 Indian Hume Pipe Co (BOM:504741), the current Gross Margin % is 22.84% as of Mar. 2026. 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 Indian Hume Pipe Co (BOM:504741) Overvalued in 2026?

Based on GuruFocus' analysis, Indian Hume Pipe Co stock appears to be overvalued. The current stock price of ₹413.80 is trading 25.8% above its estimated GF Value™ of ₹328.97. GuruFocus considers Indian Hume Pipe Co to be Modestly Overvalued.

Key valuation signals for BOM:504741:

  • Gross Margin %: 22.84% (15% above median its 10-year median of 19.79)
  • GF Value™: ₹328.97 vs. price of ₹413.80 (25.8% above fair value)
  • GF Score™: 61/100 with 5 warning signs
  • Industry Position: 10.3% above the Construction median (#767 of 1722)

No single metric tells the full story. See the BOM:504741 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Indian Hume Pipe Co Business Description

Other Exchanges INDIANHUME:India
Address 5, Walchand Hirachand Road, Construction House, 2nd Floor, Ballard Estate, Mumbai, MH, IND, 400 001
Indian Hume Pipe Co Ltd manufactures and markets Hume Pipes and allied products. The company is engaged in the business of manufacturing, laying, and jointing pipelines. The company also undertakes infrastructure development programs by way of execution on a turnkey basis for the combined water supply projects. The company also manufactures and supplies Concrete Railway Sleepers to Indian Railways. The segments of the company are Construction and Land Development. The company generates maximum revenue from the Construction segment.
61GF Score

Get the complete analysis for BOM:504741

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹413.80
Price
₹328.97
GF Value