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Sandu Pharmaceuticals (BOM:524703) Gross Margin % : 53.91% (As of Sep. 2024)


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What is Sandu Pharmaceuticals Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Sandu Pharmaceuticals's Gross Profit for the three months ended in Sep. 2024 was ₹95.4 Mil. Sandu Pharmaceuticals's Revenue for the three months ended in Sep. 2024 was ₹177.0 Mil. Therefore, Sandu Pharmaceuticals's Gross Margin % for the quarter that ended in Sep. 2024 was 53.91%.


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

BOM:524703' s Gross Margin % Range Over the Past 10 Years
Min: 39.3   Med: 45.86   Max: 50.64
Current: 50.6


During the past 13 years, the highest Gross Margin % of Sandu Pharmaceuticals was 50.64%. The lowest was 39.30%. And the median was 45.86%.

BOM:524703's Gross Margin % is ranked better than
56.66% of 969 companies
in the Drug Manufacturers industry
Industry Median: 47.02 vs BOM:524703: 50.60

Sandu Pharmaceuticals had a gross margin of 53.91% for the quarter that ended in Sep. 2024 => Durable competitive advantage

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


Sandu Pharmaceuticals Gross Margin % Historical Data

The historical data trend for Sandu Pharmaceuticals'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.

Sandu Pharmaceuticals Gross Margin % Chart

Sandu Pharmaceuticals 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 46.28 39.30 45.43 50.64 49.81

Sandu Pharmaceuticals Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 50.03 50.50 52.59 45.44 53.91

Competitive Comparison of Sandu Pharmaceuticals's Gross Margin %

For the Drug Manufacturers - Specialty & Generic subindustry, Sandu Pharmaceuticals'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.


Sandu Pharmaceuticals's Gross Margin % Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Sandu Pharmaceuticals's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Sandu Pharmaceuticals's Gross Margin % falls into.



Sandu Pharmaceuticals Gross Margin % Calculation

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

Sandu Pharmaceuticals'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 )
=335.2 / 672.807
=(Revenue - Cost of Goods Sold) / Revenue
=(672.807 - 337.649) / 672.807
=49.81 %

Sandu Pharmaceuticals's Gross Margin for the quarter that ended in Sep. 2024 is calculated as


Gross Margin % (Q: Sep. 2024 )=Gross Profit (Q: Sep. 2024 ) / Revenue (Q: Sep. 2024 )
=95.4 / 177.049
=(Revenue - Cost of Goods Sold) / Revenue
=(177.049 - 81.609) / 177.049
=53.91 %

* 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.


Sandu Pharmaceuticals  (BOM:524703) 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

Sandu Pharmaceuticals had a gross margin of 53.91% for the quarter that ended in Sep. 2024 => Durable 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.


Sandu Pharmaceuticals Gross Margin % Related Terms

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Sandu Pharmaceuticals Business Description

Traded in Other Exchanges
N/A
Address
D. K. Sandu Marg, Sandu Nagar, Chembur, Mumbai, MH, IND, 400 071
Sandu Pharmaceuticals Ltd is a pharmaceutical company. It is principally engaged in the manufacturing and sales of Ayurvedic pharmaceutical products.

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