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Raghuvir Synthetics (BOM:514316) Gross Margin % : 30.53% (As of Mar. 2024)


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What is Raghuvir Synthetics Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Raghuvir Synthetics's Gross Profit for the three months ended in Mar. 2024 was ₹194 Mil. Raghuvir Synthetics's Revenue for the three months ended in Mar. 2024 was ₹636 Mil. Therefore, Raghuvir Synthetics's Gross Margin % for the quarter that ended in Mar. 2024 was 30.53%.

Warning Sign:

Raghuvir Synthetics Ltd gross margin has been in long-term decline. The average rate of decline per year is -14.4%.


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

BOM:514316' s Gross Margin % Range Over the Past 10 Years
Min: 15.76   Med: 44.79   Max: 71.72
Current: 28.28


During the past 13 years, the highest Gross Margin % of Raghuvir Synthetics was 71.72%. The lowest was 15.76%. And the median was 44.79%.

BOM:514316's Gross Margin % is ranked better than
51.65% of 1030 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 27.09 vs BOM:514316: 28.28

Raghuvir Synthetics had a gross margin of 30.53% for the quarter that ended in Mar. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Raghuvir Synthetics was -14.40% per year.


Raghuvir Synthetics Gross Margin % Historical Data

The historical data trend for Raghuvir Synthetics'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.

Raghuvir Synthetics Gross Margin % Chart

Raghuvir Synthetics Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 37.96 22.70 15.76 20.70 28.28

Raghuvir Synthetics Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 33.00 26.67 29.32 26.56 30.53

Competitive Comparison of Raghuvir Synthetics's Gross Margin %

For the Textile Manufacturing subindustry, Raghuvir Synthetics'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.


Raghuvir Synthetics's Gross Margin % Distribution in the Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Raghuvir Synthetics's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Raghuvir Synthetics's Gross Margin % falls into.



Raghuvir Synthetics Gross Margin % Calculation

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

Raghuvir Synthetics's Gross Margin for the fiscal year that ended in Mar. 2024 is calculated as

Gross Margin % (A: Mar. 2024 )=Gross Profit (A: Mar. 2024 ) / Revenue (A: Mar. 2024 )
=680.8 / 2407.335
=(Revenue - Cost of Goods Sold) / Revenue
=(2407.335 - 1726.507) / 2407.335
=28.28 %

Raghuvir Synthetics's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=194.3 / 636.478
=(Revenue - Cost of Goods Sold) / Revenue
=(636.478 - 442.144) / 636.478
=30.53 %

* 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.


Raghuvir Synthetics  (BOM:514316) 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

Raghuvir Synthetics had a gross margin of 30.53% for the quarter that ended in Mar. 2024 => 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.


Raghuvir Synthetics Gross Margin % Related Terms

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Raghuvir Synthetics (BOM:514316) Business Description

Traded in Other Exchanges
N/A
Address
Block No. 1035A, Shilaj Rancharda Road, Near Ayodhya Shilaj Township, Shilaj, Ahmedabad, GJ, IND, 380058
Raghuvir Synthetics Ltd is a textile processing company. It is principally involved in the finishing of cotton and blended cotton textiles. The company operates in a solitary business segment -Manufacturing and Processing of Fabrics. The firm's product portfolio comprises bed linen, curtains, towels, kitchen products, and upholstery fabrics.

Raghuvir Synthetics (BOM:514316) Headlines

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