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VVIP Infratech (BOM:544219) Gross Margin % : 30.58% (As of Sep. 2024)


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What is VVIP Infratech Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. VVIP Infratech's Gross Profit for the six months ended in Sep. 2024 was ₹523 Mil. VVIP Infratech's Revenue for the six months ended in Sep. 2024 was ₹1,709 Mil. Therefore, VVIP Infratech's Gross Margin % for the quarter that ended in Sep. 2024 was 30.58%.


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

BOM:544219' s Gross Margin % Range Over the Past 10 Years
Min: 8.84   Med: 12.15   Max: 21.35
Current: 21.35


During the past 4 years, the highest Gross Margin % of VVIP Infratech was 21.35%. The lowest was 8.84%. And the median was 12.15%.

BOM:544219's Gross Margin % is ranked better than
52.24% of 1675 companies
in the Construction industry
Industry Median: 20.19 vs BOM:544219: 21.35

VVIP Infratech had a gross margin of 30.58% for the quarter that ended in Sep. 2024 => Competition eroding margins

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


VVIP Infratech Gross Margin % Historical Data

The historical data trend for VVIP Infratech'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.

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VVIP Infratech Gross Margin % Chart

VVIP Infratech Annual Data
Trend Mar21 Mar22 Mar23 Mar24
Gross Margin %
8.84 9.64 14.66 15.53

VVIP Infratech Semi-Annual Data
Mar21 Mar22 Mar23 Sep23 Mar24 Sep24
Gross Margin % Get a 7-Day Free Trial - - 20.73 11.64 30.58

Competitive Comparison of VVIP Infratech's Gross Margin %

For the Engineering & Construction subindustry, VVIP Infratech'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.


VVIP Infratech's Gross Margin % Distribution in the Construction Industry

For the Construction industry and Industrials sector, VVIP Infratech's Gross Margin % distribution charts can be found below:

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


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VVIP Infratech Gross Margin % Calculation

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

VVIP Infratech'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 )
=440.2 / 2835.292
=(Revenue - Cost of Goods Sold) / Revenue
=(2835.292 - 2395.074) / 2835.292
=15.53 %

VVIP Infratech's Gross Margin for the quarter that ended in Sep. 2024 is calculated as


Gross Margin % (Q: Sep. 2024 )=Gross Profit (Q: Sep. 2024 ) / Revenue (Q: Sep. 2024 )
=522.6 / 1709.213
=(Revenue - Cost of Goods Sold) / Revenue
=(1709.213 - 1186.617) / 1709.213
=30.58 %

* 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.


VVIP Infratech  (BOM:544219) 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

VVIP Infratech had a gross margin of 30.58% for the quarter that ended in Sep. 2024 => Competition eroding margins


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.


VVIP Infratech Gross Margin % Related Terms

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VVIP Infratech Business Description

Traded in Other Exchanges
N/A
Address
Fifth Floor, VVIP Style, National Highway-58 Raj Nagar Extension, Ghaziabad, UP, IND, 201017
VVIP Infratech Ltd is an infrastructure company in India. It is engaged in the business of construction of Infrastructure Projects such as Sewer, Sewer Treatment plants, Water Tanks, Water treatment plants, Road sector development, Electrification Development, Transmission and Distribution Infrastructure, and real estate sector. The company is working on projects in the states of Uttar Pradesh, Uttarakhand, NCR Delhi and other northern Parts of India.

VVIP Infratech Headlines

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