Deccan Health Care (BOM:542248) Gross Margin %: 40.78% (As of Mar. 2026) — 14% Below Median

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BOM:542248 Deccan Health Care Ltd BOM:542248
78 GF Score
Price ₹12.99
GF Value ₹26.18
Valuation Significantly Undervalued
! 6 Warning Signs
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What is Deccan Health Care Gross Margin %?

Deccan Health Care BOM:542248 -0.08% 78 Gross Margin % is 40.78% as of Mar. 2026, which is 14% below its 10-year median of 47.49. GuruFocus rates BOM:542248 with a GF Score™ of 78/100 and a GF Value™ of ₹26.18 (Significantly Undervalued). The stock has 6 warning signs investors should review. Among 943 Drug Manufacturers companies, Deccan Health Care ranks worse than 67.76% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Deccan Health Care's Gross Profit for the three months ended in Mar. 2026 was ₹85.5 Mil. Deccan Health Care's Revenue for the three months ended in Mar. 2026 was ₹209.8 Mil. Therefore, Deccan Health Care's Gross Margin % for the quarter that ended in Mar. 2026 was 40.78%.

Warning Sign:

Deccan Health Care Ltd gross margin has been in long-term decline. The average rate of decline per year is -5%.


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

BOM:542248' s Gross Margin % Range Over the Past 10 Years
Min: 31.87   Med: 47.49   Max: 68.21
Current: 38.49


During the past 11 years, the highest Gross Margin % of Deccan Health Care was 68.21%. The lowest was 31.87%. And the median was 47.49%.

BOM:542248's Gross Margin % is ranked worse than
67.76% of 943 companies
in the Drug Manufacturers industry
Industry Median: 48.54 vs BOM:542248: 38.49

Deccan Health Care had a gross margin of 40.78% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Deccan Health Care was -5.00% per year.


Deccan Health Care  (BOM:542248) 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

Deccan Health Care had a gross margin of 40.78% for the quarter that ended in Mar. 2026 => 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.


Deccan Health Care Gross Margin % Related Terms


Deccan Health Care Gross Margin % Historical Data

* Premium members only.

The historical data trend for Deccan Health Care'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.

Deccan Health Care Gross Margin % Chart

Deccan Health Care 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 52.17 39.12 31.87 36.72 38.49

Deccan Health Care Quarterly Data
Sep20 Mar21 Sep21 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 32.42 29.98 40.83 43.68 40.78

BOM:542248 vs ZTS, UTHR: Gross Margin % Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Deccan Health Care'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.


Deccan Health Care Gross Margin % vs Drug Manufacturers Industry

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

* The bar in red indicates where Deccan Health Care's Gross Margin % falls into.


BOM:542248
78GF Score
Deccan Health Care Ltd BOM:542248
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Deccan Health Care Gross Margin % Calculation

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

Deccan Health Care'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 )
=315.2 / 819.048
=(Revenue - Cost of Goods Sold) / Revenue
=(819.048 - 503.822) / 819.048
=38.49 %

Deccan Health Care'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 )
=85.5 / 209.752
=(Revenue - Cost of Goods Sold) / Revenue
=(209.752 - 124.222) / 209.752
=40.78 %

* 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 40.78% mean?
Deccan Health Care (BOM:542248) has a Gross Margin % of 40.78% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Deccan Health Care and its competitors. This is 14% below median its historical median of 47.49. Over the past decade, Deccan Health Care's Gross Margin % has ranged from 31.87 to 68.21. According to the industry distribution chart, Deccan Health Care ranks #639 out of 943 companies in the Drug Manufacturers industry, placing it in the top 67.8%.
Is Deccan Health Care's Gross Margin % too high?
Deccan Health Care's current Gross Margin % of 40.78% is 14% below median its 10-year median of 47.49. Over the past 10 years, this metric has ranged from a low of 31.87 to a high of 68.21. The Drug Manufacturers industry median Gross Margin % is 48.54. Deccan Health Care's value of 40.78% is 16% below this industry median. Based on the distribution chart, Deccan Health Care ranks #639 out of 943 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, Deccan Health Care has a GF Score™ of 78/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Deccan Health Care's Gross Margin % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Deccan Health Care ranks #639 out of 943 companies for Gross Margin %. This places Deccan Health Care in the lower half of its industry. The industry median Gross Margin % is 48.54. Deccan Health Care's value of 40.78% is 16% below this benchmark. Historically, Deccan Health Care's own Gross Margin % has ranged from 31.87 to 68.21 over the past decade. While the company's 10-year median is 47.49 vs. the industry median of 48.54, Deccan Health Care 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 Drug Manufacturers company?
The median Gross Margin % among Drug Manufacturers companies is 48.54, based on 943 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. Deccan Health Care's current Gross Margin % of 40.78% is 16% 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 Deccan Health Care and its competitors. For the Drug Manufacturers industry, the median Gross Margin % is 48.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Deccan Health Care's current Gross Margin % is 40.78%, which is 14% below median its own 10-year median of 47.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Deccan Health Care stock overvalued right now?
Based on GuruFocus' analysis, Deccan Health Care (BOM:542248) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹26.18, compared to a current price of ₹12.99 — trading 50.4% below its estimated fair value. The current Gross Margin % is 40.78%, which is 14% below median its 10-year median of 47.49 and 16% below the Drug Manufacturers industry median of 48.54. Deccan Health Care's overall GF Score™ is 78/100 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 Deccan Health Care (BOM:542248), the current Gross Margin % is 40.78% 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.

Is Deccan Health Care (BOM:542248) Overvalued in 2026?

Based on GuruFocus' analysis, Deccan Health Care stock appears to be undervalued. The current stock price of ₹12.99 is trading 50.4% below its estimated GF Value™ of ₹26.18. GuruFocus considers Deccan Health Care to be Significantly Undervalued.

Key valuation signals for BOM:542248:

  • Gross Margin %: 40.78% (14% below median its 10-year median of 47.49)
  • GF Value™: ₹26.18 vs. price of ₹12.99 (50.4% below fair value)
  • GF Score™: 78/100 with 6 warning signs
  • Industry Position: 16% below the Drug Manufacturers median (#639 of 943)

No single metric tells the full story. See the BOM:542248 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Deccan Health Care Business Description

Address 6-3-347/17/5/A/Back Position, Dwarakapuri Colony, Punjagutta, Hyderabad, TG, IND, 500082
Deccan Health Care Ltd is into developing, manufacturing, and marketing a broad range of healthcare products, including nutraceutical, cosmeceutical, and ayurveda products (Fast Moving Consumer Health Products). Its products are Nutraceutical Food Products and other supplements and medicines. The company is operating in a single segment of manufacturing of nutraceutical products. The company operates in India as well as exports its products to other countries, and the majority of its revenue comes from India.
78GF Score

Get the complete analysis for BOM:542248

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹12.99
Price
₹26.18
GF Value