Atam Valves (BOM:543236) Gross Margin % : 43.35% (As of Mar. 2024)

View and export this data going back to 2020. Start your Free Trial

What is Atam Valves Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Atam Valves's Gross Profit for the three months ended in Mar. 2024 was ₹74.8 Mil. Atam Valves's Revenue for the three months ended in Mar. 2024 was ₹172.5 Mil. Therefore, Atam Valves's Gross Margin % for the quarter that ended in Mar. 2024 was 43.35%.

Warning Sign:

Atam Valves Ltd gross margin has been in long-term decline. The average rate of decline per year is -1.5%.

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

BOM:543236' s Gross Margin % Range Over the Past 10 Years
Min: 43.5 Med: 45.95 Max: 49.32
Current: 44.56

During the past 7 years, the highest Gross Margin % of Atam Valves was 49.32%. The lowest was 43.50%. And the median was 45.95%.

BOM:543236's Gross Margin % is ranked better than
85.25% of 2936 companies
in the Industrial Products industry
Industry Median: 26.57 vs BOM:543236: 44.56

Atam Valves had a gross margin of 43.35% for the quarter that ended in Mar. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Atam Valves was -1.50% per year.

Atam Valves Gross Margin % Historical Data

The historical data trend for Atam Valves'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.

Atam Valves Gross Margin % Chart

Atam Valves Annual Data

Trend

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Mar24

Gross Margin %

Get a 7-Day Free Trial

49.32

44.24

45.95

43.50

44.56

Atam Valves Quarterly Data
	Mar18	Mar19	Mar20	Sep20	Mar21	Jun21	Sep21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24
Gross Margin %	Get a 7-Day Free Trial											39.76	45.29	43.79	46.45	43.35

Competitive Comparison of Atam Valves's Gross Margin %

For the Specialty Industrial Machinery subindustry, Atam Valves'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.

Atam Valves's Gross Margin % Distribution in the Industrial Products Industry

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

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

Atam Valves Gross Margin % Calculation

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

Atam Valves'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 )
	=	234.4	/	525.975
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(525.975 - 291.603)	/	525.975
	=	44.56 %

Atam Valves's Gross Margin for the quarter that ended in Mar. 2024 is calculated as

Gross Margin % (Q: Mar. 2024 )	=	Gross Profit (Q: Mar. 2024 )	/	Revenue (Q: Mar. 2024 )
	=	74.8	/	172.451
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(172.451 - 97.686)	/	172.451
	=	43.35 %

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.

Atam Valves (BOM:543236) 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

Atam Valves had a gross margin of 43.35% for the quarter that ended in Mar. 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.

Atam Valves Gross Margin % Related Terms

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

Atam Valves (BOM:543236) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Industrial Products » Atam Valves Ltd (BOM:543236) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

ATAM:India

Address

1051, Industrial Area, Jalandhar, PB, IND, 144004

Website

https://www.atamvalves.in

Atam Valves Ltd is engaged in the business of manufacturing bronze, cast iron, cast steel, carbon steel, stainless steel, forged steel as well as gun metal industrial valves of various types and sizes ranging from 8 mm up to 350 mm. It manufactures boiler mountings and supplies various types of valves and fittings, steam traps, and strainers. The company's products range includes Air Valves; Ball Valves; Butterfly Valves; Check Valves; Cocks; Foot Valves; Gate Valves; Globe Valves; Injectors; Moisture Separators; Needle Valves; Non Return Valves; Parallel Slide Blow Off Valves; Plug Valves; Pressure Reducing Valves; Safety Valves; Sight Indicators; Steam Stop Valves; Steam Traps; Strainers; Water Level Gauges; and Wheel Valves.

Atam Valves (BOM:543236) Headlines

No Headlines