Safa Systems & Technologies (BOM:543461) Gross Margin %: 1.54% (As of Mar. 2026) — Near Median

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BOM:543461 Safa Systems & Technologies Ltd BOM:543461
73 GF Score
Price ₹20.00
GF Value ₹13.12
Valuation Significantly Overvalued
! 6 Warning Signs
View Full Analysis

What is Safa Systems & Technologies Gross Margin %?

Safa Systems & Technologies BOM:543461 +3.63% 73 Gross Margin % is 1.54% as of Mar. 2026, which is 4% below its 10-year median of 1.60. GuruFocus rates BOM:543461 with a GF Score™ of 73/100 and a GF Value™ of ₹13.12 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 2,454 Hardware companies, Safa Systems & Technologies ranks worse than 96.13% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Safa Systems & Technologies's Gross Profit for the six months ended in Mar. 2026 was ₹39 Mil. Safa Systems & Technologies's Revenue for the six months ended in Mar. 2026 was ₹2,519 Mil. Therefore, Safa Systems & Technologies's Gross Margin % for the quarter that ended in Mar. 2026 was 1.54%.

Warning Sign:

Safa Systems & Technologies Ltd gross margin has been in long-term decline. The average rate of decline per year is -1.8%.


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

BOM:543461' s Gross Margin % Range Over the Past 10 Years
Min: 1.2   Med: 1.6   Max: 2.89
Current: 1.74


During the past 8 years, the highest Gross Margin % of Safa Systems & Technologies was 2.89%. The lowest was 1.20%. And the median was 1.60%.

BOM:543461's Gross Margin % is ranked worse than
96.13% of 2454 companies
in the Hardware industry
Industry Median: 24.5 vs BOM:543461: 1.74

Safa Systems & Technologies had a gross margin of 1.54% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Safa Systems & Technologies was -1.80% per year.


Safa Systems & Technologies  (BOM:543461) 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

Safa Systems & Technologies had a gross margin of 1.54% for the quarter that ended in Mar. 2026 => No sustainable 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.


Safa Systems & Technologies Gross Margin % Related Terms


Safa Systems & Technologies Gross Margin % Historical Data

* Premium members only.

The historical data trend for Safa Systems & Technologies'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.

Safa Systems & Technologies Gross Margin % Chart

Safa Systems & Technologies Annual Data
Trend Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial 1.29 1.21 1.20 1.46 1.74

Safa Systems & Technologies Semi-Annual Data
Mar19 Mar20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.20 1.72 1.14 2.02 1.54

BOM:543461 vs AAPL: Gross Margin % Comparison

For the Consumer Electronics subindustry, Safa Systems & Technologies'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.


Safa Systems & Technologies Gross Margin % vs Hardware Industry

For the Hardware industry and Technology sector, Safa Systems & Technologies's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Safa Systems & Technologies's Gross Margin % falls into.


BOM:543461
73GF Score
Safa Systems & Technologies Ltd BOM:543461
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Safa Systems & Technologies Gross Margin % Calculation

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

Safa Systems & Technologies'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 )
=75.3 / 4330.637
=(Revenue - Cost of Goods Sold) / Revenue
=(4330.637 - 4255.378) / 4330.637
=1.74 %

Safa Systems & Technologies'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 )
=38.7 / 2519.455
=(Revenue - Cost of Goods Sold) / Revenue
=(2519.455 - 2480.737) / 2519.455
=1.54 %

* 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 1.54% mean?
Safa Systems & Technologies (BOM:543461) has a Gross Margin % of 1.54% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Safa Systems & Technologies and its competitors. This is near median its historical median of 1.60. Over the past decade, Safa Systems & Technologies' Gross Margin % has ranged from 1.20 to 2.89. According to the industry distribution chart, Safa Systems & Technologies ranks #2359 out of 2454 companies in the Hardware industry, placing it in the top 96.1%.
Is Safa Systems & Technologies' Gross Margin % too high?
Safa Systems & Technologies' current Gross Margin % of 1.54% is near median its 10-year median of 1.60. Over the past 10 years, this metric has ranged from a low of 1.20 to a high of 2.89. The Hardware industry median Gross Margin % is 24.50. Safa Systems & Technologies' value of 1.54% is 93.7% below this industry median. Based on the distribution chart, Safa Systems & Technologies ranks #2359 out of 2454 companies in the Hardware industry, which is in the bottom quartile relative to peers. Overall, Safa Systems & Technologies has a GF Score™ of 73/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Safa Systems & Technologies' Gross Margin % compare to AAPL?
According to the Hardware industry distribution chart, Safa Systems & Technologies ranks #2359 out of 2454 companies for Gross Margin %. This places Safa Systems & Technologies in the lower half of its industry. The industry median Gross Margin % is 24.50. Safa Systems & Technologies' value of 1.54% is 93.7% below this benchmark. Historically, Safa Systems & Technologies' own Gross Margin % has ranged from 1.20 to 2.89 over the past decade. While the company's 10-year median is 1.60 vs. the industry median of 24.50, Safa Systems & Technologies 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.50, based on 2,454 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. Safa Systems & Technologies's current Gross Margin % of 1.54% is 93.7% 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 Safa Systems & Technologies and its competitors. For the Hardware industry, the median Gross Margin % is 24.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Safa Systems & Technologies's current Gross Margin % is 1.54%, which is near median its own 10-year median of 1.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Safa Systems & Technologies stock overvalued right now?
Based on GuruFocus' analysis, Safa Systems & Technologies (BOM:543461) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹13.12, compared to a current price of ₹20.00 — trading 52.4% above its estimated fair value. The current Gross Margin % is 1.54%, which is near median its 10-year median of 1.60 and 93.7% below the Hardware industry median of 24.50. Safa Systems & Technologies' overall GF Score™ is 73/100 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 Safa Systems & Technologies (BOM:543461), the current Gross Margin % is 1.54% 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 Safa Systems & Technologies (BOM:543461) Overvalued in 2026?

Based on GuruFocus' analysis, Safa Systems & Technologies stock appears to be overvalued. The current stock price of ₹20.00 is trading 52.4% above its estimated GF Value™ of ₹13.12. GuruFocus considers Safa Systems & Technologies to be Significantly Overvalued.

Key valuation signals for BOM:543461:

  • Gross Margin %: 1.54% (near median its 10-year median of 1.60)
  • GF Value™: ₹13.12 vs. price of ₹20.00 (52.4% above fair value)
  • GF Score™: 73/100 with 6 warning signs
  • Industry Position: 93.7% below the Hardware median (#2359 of 2454)

No single metric tells the full story. See the BOM:543461 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Safa Systems & Technologies Business Description

Address Kaniyapilly Road, Door No. 46/2631 B, Safa Arcade, Behind Holiday Inn, Chakkaraparambu, Ernakulam, KL, IND, 682028
Safa Systems & Technologies Ltd is engaged in the business of distributorship of consumer durable products like Mobile phones, electronic gadgets, Mobile phone accessories, Tablets, LED TVs, Home appliances and wearable devices of various brands like Xiaomi, OPPO, TECNO, motorola, Micromax, One Plus and others.
73GF Score

Get the complete analysis for BOM:543461

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

₹20.00
Price
₹13.12
GF Value