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Shivagrico Implements (BOM:522237) Gross Margin % : 20.81% (As of Dec. 2024)


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What is Shivagrico Implements Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Shivagrico Implements's Gross Profit for the three months ended in Dec. 2024 was ₹24.8 Mil. Shivagrico Implements's Revenue for the three months ended in Dec. 2024 was ₹119.3 Mil. Therefore, Shivagrico Implements's Gross Margin % for the quarter that ended in Dec. 2024 was 20.81%.

Warning Sign:

Shivagrico Implements Ltd gross margin has been in long-term decline. The average rate of decline per year is -1.9%.


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

BOM:522237' s Gross Margin % Range Over the Past 10 Years
Min: 7.59   Med: 14.39   Max: 42.41
Current: 15.98


During the past 13 years, the highest Gross Margin % of Shivagrico Implements was 42.41%. The lowest was 7.59%. And the median was 14.39%.

BOM:522237's Gross Margin % is ranked worse than
78.92% of 2946 companies
in the Industrial Products industry
Industry Median: 26.89 vs BOM:522237: 15.98

Shivagrico Implements had a gross margin of 20.81% for the quarter that ended in Dec. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Shivagrico Implements was -1.90% per year.


Shivagrico Implements Gross Margin % Historical Data

The historical data trend for Shivagrico Implements'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.

Shivagrico Implements Gross Margin % Chart

Shivagrico Implements 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 19.32 15.75 15.11 12.46 13.67

Shivagrico Implements Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 20.10 -7.15 26.55 21.68 20.81

Competitive Comparison of Shivagrico Implements's Gross Margin %

For the Tools & Accessories subindustry, Shivagrico Implements'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.


Shivagrico Implements's Gross Margin % Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Shivagrico Implements's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Shivagrico Implements's Gross Margin % falls into.


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Shivagrico Implements Gross Margin % Calculation

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

Shivagrico Implements'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 )
=55.2 / 404.011
=(Revenue - Cost of Goods Sold) / Revenue
=(404.011 - 348.769) / 404.011
=13.67 %

Shivagrico Implements's Gross Margin for the quarter that ended in Dec. 2024 is calculated as


Gross Margin % (Q: Dec. 2024 )=Gross Profit (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=24.8 / 119.278
=(Revenue - Cost of Goods Sold) / Revenue
=(119.278 - 94.461) / 119.278
=20.81 %

* 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.


Shivagrico Implements  (BOM:522237) 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

Shivagrico Implements had a gross margin of 20.81% for the quarter that ended in Dec. 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.


Shivagrico Implements Gross Margin % Related Terms

Thank you for viewing the detailed overview of Shivagrico Implements's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Shivagrico Implements Business Description

Traded in Other Exchanges
N/A
Address
281, Tardeo Road, A-1, Ground Floor, Adinath Apartments, Mumbai, MH, IND, 400 007
Shivagrico Implements Ltd is engaged in manufacturing hand tools, equipment, and agricultural implements in India. Its only operating segment is the Rolling and Forging of Agricultural Implements and others. Geographically, it derives a majority of its revenue from India. It sells its products under the brands LION and CHETAK. The company offers pickaxes, crowbars, hoes, pick and cutter mattocks, hammers, and mauls.

Shivagrico Implements Headlines

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