GURUFOCUS.COM » STOCK LIST » Technology » Software » Mphasis Ltd (BOM:526299) » Definitions » Gross Margin %

Mphasis (BOM:526299) Gross Margin % : 43.19% (As of Mar. 2025)


View and export this data going back to 1994. Start your Free Trial

What is Mphasis Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Mphasis's Gross Profit for the three months ended in Mar. 2025 was ₹16,024 Mil. Mphasis's Revenue for the three months ended in Mar. 2025 was ₹37,100 Mil. Therefore, Mphasis's Gross Margin % for the quarter that ended in Mar. 2025 was 43.19%.


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

BOM:526299' s Gross Margin % Range Over the Past 10 Years
Min: 28.2   Med: 30.18   Max: 42.76
Current: 42.76


During the past 13 years, the highest Gross Margin % of Mphasis was 42.76%. The lowest was 28.20%. And the median was 30.18%.

BOM:526299's Gross Margin % is ranked better than
51.72% of 2645 companies
in the Software industry
Industry Median: 41.4 vs BOM:526299: 42.76

Mphasis had a gross margin of 43.19% for the quarter that ended in Mar. 2025 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Mphasis was 7.90% per year.


Mphasis Gross Margin % Historical Data

The historical data trend for Mphasis'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.

Mphasis Gross Margin % Chart

Mphasis Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 29.59 28.20 28.36 40.31 42.76

Mphasis Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 39.49 40.57 43.04 44.15 43.19

Competitive Comparison of Mphasis's Gross Margin %

For the Information Technology Services subindustry, Mphasis'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.


Mphasis's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Mphasis's Gross Margin % distribution charts can be found below:

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


;
;

Mphasis Gross Margin % Calculation

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

Mphasis's Gross Margin for the fiscal year that ended in Mar. 2025 is calculated as

Gross Margin % (A: Mar. 2025 )=Gross Profit (A: Mar. 2025 ) / Revenue (A: Mar. 2025 )
=60853.3 / 142299.87
=(Revenue - Cost of Goods Sold) / Revenue
=(142299.87 - 81446.59) / 142299.87
=42.76 %

Mphasis's Gross Margin for the quarter that ended in Mar. 2025 is calculated as


Gross Margin % (Q: Mar. 2025 )=Gross Profit (Q: Mar. 2025 ) / Revenue (Q: Mar. 2025 )
=16024.2 / 37100.41
=(Revenue - Cost of Goods Sold) / Revenue
=(37100.41 - 21076.18) / 37100.41
=43.19 %

* 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.


Mphasis  (BOM:526299) 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

Mphasis had a gross margin of 43.19% for the quarter that ended in Mar. 2025 => 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.


Mphasis Gross Margin % Related Terms

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


Mphasis Business Description

Traded in Other Exchanges
Address
Marathalli Outer Ring Road, Bagmane World Technology Center, Doddanakhundi Village, Mahadevapura, Bengaluru, KA, IND, 560 048
Mphasis Ltd is an IT solutions provider which offers application development and integration, business process outsourcing, and infrastructure services such as architecture guidance. The company was formed after the merger of the U.S.-based IT consulting company Mphasis and the Indian IT services company BFL Software. Mphasis serves clients in the financial services, healthcare, telecom, retail, logistics, and technology industries. Mphasis operates in India, Americas, EMEA, and Rest of the world. The company operates through its business segments: banking and financial services, insurance, technology media and telecom, logistics and transportation, and others. It derives maximum revenue from banking and financial services.

Mphasis Headlines

No Headlines