Shah Foods (BOM:519031) Gross Margin %: 12.01% (As of Mar. 2026) — 88% Below Median

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BOM:519031 Shah Foods Ltd BOM:519031
25 GF Score
Price ₹383.95
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What is Shah Foods Gross Margin %?

Shah Foods BOM:519031 +1.97% 25 Gross Margin % is 12.01% as of Mar. 2026, which is 88% below its 10-year median of 96.93. GuruFocus rates BOM:519031 with a GF Score™ of 25/100. The stock has 6 warning signs investors should review. Among 1,908 Consumer Packaged Goods companies, Shah Foods ranks worse than 81.76% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Shah Foods's Gross Profit for the three months ended in Mar. 2026 was ₹4.78 Mil. Shah Foods's Revenue for the three months ended in Mar. 2026 was ₹39.81 Mil. Therefore, Shah Foods's Gross Margin % for the quarter that ended in Mar. 2026 was 12.01%.


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

BOM:519031' s Gross Margin % Range Over the Past 10 Years
Min: 7.28   Med: 96.93   Max: 98.87
Current: 12.01


During the past 13 years, the highest Gross Margin % of Shah Foods was 98.87%. The lowest was 7.28%. And the median was 96.93%.

BOM:519031's Gross Margin % is ranked worse than
81.76% of 1908 companies
in the Consumer Packaged Goods industry
Industry Median: 26.345 vs BOM:519031: 12.01

Shah Foods had a gross margin of 12.01% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage

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


Shah Foods  (BOM:519031) 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

Shah Foods had a gross margin of 12.01% for the quarter that ended in Mar. 2026 => 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.


Shah Foods Gross Margin % Related Terms


Shah Foods Gross Margin % Historical Data

* Premium members only.

The historical data trend for Shah Foods'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.

Shah Foods Gross Margin % Chart

Shah Foods 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 0.00 0.00 0.00 7.28 12.01

Shah Foods 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 8.93 0.00 0.00 0.00 12.01

BOM:519031 vs KHC, GIS: Gross Margin % Comparison

For the Packaged Foods subindustry, Shah Foods'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.


Shah Foods Gross Margin % vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Shah Foods's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Shah Foods's Gross Margin % falls into.


BOM:519031
25GF Score
Shah Foods Ltd BOM:519031
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Shah Foods Gross Margin % Calculation

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

Shah Foods'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 )
=4.8 / 39.811
=(Revenue - Cost of Goods Sold) / Revenue
=(39.811 - 35.03) / 39.811
=12.01 %

Shah Foods'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 )
=4.8 / 39.811
=(Revenue - Cost of Goods Sold) / Revenue
=(39.811 - 35.03) / 39.811
=12.01 %

* 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 12.01% mean?
Shah Foods (BOM:519031) has a Gross Margin % of 12.01% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Shah Foods and its competitors. This is 88% below median its historical median of 96.93. Over the past decade, Shah Foods' Gross Margin % has ranged from 7.28 to 98.87. According to the industry distribution chart, Shah Foods ranks #1560 out of 1908 companies in the Consumer Packaged Goods industry, placing it in the top 81.8%.
Is Shah Foods' Gross Margin % too high?
Shah Foods' current Gross Margin % of 12.01% is 88% below median its 10-year median of 96.93. Over the past 10 years, this metric has ranged from a low of 7.28 to a high of 98.87. The Consumer Packaged Goods industry median Gross Margin % is 26.35. Shah Foods' value of 12.01% is 54.4% below this industry median. Based on the distribution chart, Shah Foods ranks #1560 out of 1908 companies in the Consumer Packaged Goods industry, which is in the bottom quartile relative to peers. Overall, Shah Foods has a GF Score™ of 25/100, reflecting its overall financial health beyond just this single metric.
How does Shah Foods' Gross Margin % compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Shah Foods ranks #1560 out of 1908 companies for Gross Margin %. This places Shah Foods in the lower half of its industry. The industry median Gross Margin % is 26.35. Shah Foods' value of 12.01% is 54.4% below this benchmark. Historically, Shah Foods' own Gross Margin % has ranged from 7.28 to 98.87 over the past decade. While the company's 10-year median is 96.93 vs. the industry median of 26.35, Shah Foods has consistently been below 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 Consumer Packaged Goods company?
The median Gross Margin % among Consumer Packaged Goods companies is 26.35, based on 1,908 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. Shah Foods's current Gross Margin % of 12.01% is 54.4% below 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 Shah Foods and its competitors. For the Consumer Packaged Goods industry, the median Gross Margin % is 26.35 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shah Foods's current Gross Margin % is 12.01%, which is 88% below median its own 10-year median of 96.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shah Foods stock overvalued right now?
Shah Foods (BOM:519031) has a current Gross Margin % of 12.01%. The current Gross Margin % is 12.01%, which is 88% below median its 10-year median of 96.93 and 54.4% below the Consumer Packaged Goods industry median of 26.35. Shah Foods' overall GF Score™ is 25/100 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 Shah Foods (BOM:519031), the current Gross Margin % is 12.01% 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.

Shah Foods Business Description

Address 301, Sarthik Square, S.G Highway, Bodakdev, Near Shapath, Ahmedabad, GJ, IND, 380054
Shah Foods Ltd operates as a manufacturer of biscuits for Britannia Industries Limited in India. It is also involved in the trading of shares and securities.
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