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Karuturi Global (BOM:531687) Gross Margin % : 47.66% (As of Dec. 2018)


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What is Karuturi Global Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Karuturi Global's Gross Profit for the three months ended in Dec. 2018 was ₹264 Mil. Karuturi Global's Revenue for the three months ended in Dec. 2018 was ₹554 Mil. Therefore, Karuturi Global's Gross Margin % for the quarter that ended in Dec. 2018 was 47.66%.


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


BOM:531687's Gross Margin % is not ranked *
in the Consumer Packaged Goods industry.
Industry Median: 25.235
* Ranked among companies with meaningful Gross Margin % only.

Karuturi Global had a gross margin of 47.66% for the quarter that ended in Dec. 2018 => Durable competitive advantage

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


Karuturi Global Gross Margin % Historical Data

The historical data trend for Karuturi Global'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.

Karuturi Global Gross Margin % Chart

Karuturi Global Annual Data
Trend Mar09 Mar10 Mar11 Mar12 Mar13 Mar14 Mar15 Mar16 Mar17 Mar18
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 73.36 49.72 55.82 42.06 42.62

Karuturi Global Quarterly Data
Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18
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 33.49 35.24 57.81 51.92 47.66

Competitive Comparison of Karuturi Global's Gross Margin %

For the Farm Products subindustry, Karuturi Global'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.


Karuturi Global's Gross Margin % Distribution in the Consumer Packaged Goods Industry

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

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



Karuturi Global Gross Margin % Calculation

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

Karuturi Global's Gross Margin for the fiscal year that ended in Mar. 2018 is calculated as

Gross Margin % (A: Mar. 2018 )=Gross Profit (A: Mar. 2018 ) / Revenue (A: Mar. 2018 )
=978.5 / 2295.912
=(Revenue - Cost of Goods Sold) / Revenue
=(2295.912 - 1317.363) / 2295.912
=42.62 %

Karuturi Global's Gross Margin for the quarter that ended in Dec. 2018 is calculated as


Gross Margin % (Q: Dec. 2018 )=Gross Profit (Q: Dec. 2018 ) / Revenue (Q: Dec. 2018 )
=263.9 / 553.791
=(Revenue - Cost of Goods Sold) / Revenue
=(553.791 - 289.847) / 553.791
=47.66 %

* 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.


Karuturi Global  (BOM:531687) 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

Karuturi Global had a gross margin of 47.66% for the quarter that ended in Dec. 2018 => 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.


Karuturi Global Gross Margin % Related Terms

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Karuturi Global (BOM:531687) Business Description

Traded in Other Exchanges
N/A
Address
11, Crescent Road, Number 204, Embassy Center, Bangalore, KA, IND, 560001
Karuturi Global Ltd is engaged in the manufacturing of flowers, plant and plant materials. The company is a producer and exporter of cut roses and has its operations in India, Ethiopia, Dubai, and Kenya. It is involved in the business of Floriculture, Agriculture, Food processing and Information technology (IT). The Floriculture products consist of cut flowers, pot plants, seeds bulbs, rooted cuttings and dried flowers. Its Agriculture business produces cereal crops like maize, corn, sugarcane, and oilseeds. The Food processing business specializes in gherkin processing such as bay valley foods, mount olive, vlassic, heinz, and lidl. The IT business offers customized e-commerce solutions to companies dealing with perishable goods and commodities, paper industries, and government agencies.

Karuturi Global (BOM:531687) Headlines

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