AFC Agro Biotech (DHA:AFCAGRO) Gross Margin %: 27.39% (As of Mar. 2023)


DHA:AFCAGRO AFC Agro Biotech Ltd DHA:AFCAGRO
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What is AFC Agro Biotech Gross Margin %?

AFC Agro Biotech DHA:AFCAGRO -1.23% 10 Gross Margin % is 27.39% as of Mar. 2023. GuruFocus rates DHA:AFCAGRO with a GF Score™ of 10/100.

Gross Margin % is calculated as gross profit divided by its revenue. AFC Agro Biotech's Gross Profit for the three months ended in Mar. 2023 was BDT22.8 Mil. AFC Agro Biotech's Revenue for the three months ended in Mar. 2023 was BDT83.3 Mil. Therefore, AFC Agro Biotech's Gross Margin % for the quarter that ended in Mar. 2023 was 27.39%.


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


DHA:AFCAGRO's Gross Margin % is not ranked *
in the Drug Manufacturers industry.
Industry Median: 48.54
* Ranked among companies with meaningful Gross Margin % only.

AFC Agro Biotech had a gross margin of 27.39% for the quarter that ended in Mar. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for AFC Agro Biotech was 0.00% per year.


AFC Agro Biotech  (DHA:AFCAGRO) 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

AFC Agro Biotech had a gross margin of 27.39% for the quarter that ended in Mar. 2023 => 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.


AFC Agro Biotech Gross Margin % Related Terms


AFC Agro Biotech Gross Margin % Historical Data

* Premium members only.

The historical data trend for AFC Agro Biotech'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.

AFC Agro Biotech Gross Margin % Chart

AFC Agro Biotech Annual Data
Trend Dec13 Dec14 Jun15 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22
Gross Margin %
Get a 7-Day Free Trial Premium Member Only 39.03 39.16 24.16 22.97 23.15

AFC Agro Biotech Quarterly Data
Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23
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 20.83 34.78 26.25 24.79 27.39

DHA:AFCAGRO vs ZTS, VTRS, NBIX: Gross Margin % Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, AFC Agro Biotech'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.


AFC Agro Biotech Gross Margin % vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, AFC Agro Biotech's Gross Margin % distribution charts can be found below:

* The bar in red indicates where AFC Agro Biotech's Gross Margin % falls into.


DHA:AFCAGRO
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AFC Agro Biotech Ltd DHA:AFCAGRO
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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AFC Agro Biotech Gross Margin % Calculation

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

AFC Agro Biotech's Gross Margin for the fiscal year that ended in Jun. 2022 is calculated as

Gross Margin % (A: Jun. 2022 )=Gross Profit (A: Jun. 2022 ) / Revenue (A: Jun. 2022 )
=162.5 / 701.881
=(Revenue - Cost of Goods Sold) / Revenue
=(701.881 - 539.375) / 701.881
=23.15 %

AFC Agro Biotech's Gross Margin for the quarter that ended in Mar. 2023 is calculated as


Gross Margin % (Q: Mar. 2023 )=Gross Profit (Q: Mar. 2023 ) / Revenue (Q: Mar. 2023 )
=22.8 / 83.257
=(Revenue - Cost of Goods Sold) / Revenue
=(83.257 - 60.451) / 83.257
=27.39 %

* 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 27.39% mean?
AFC Agro Biotech (DHA:AFCAGRO) has a Gross Margin % of 27.39% as of Mar. 2023. Gross margin is the ratio of total gross profit to net sales. View historical data on AFC Agro Biotech and its competitors.
Is AFC Agro Biotech's Gross Margin % too high?
AFC Agro Biotech's current Gross Margin % is 27.39%. The Drug Manufacturers industry median Gross Margin % is 48.54. AFC Agro Biotech's value of 27.39% is 43.6% below this industry median. Overall, AFC Agro Biotech has a GF Score™ of 10/100, reflecting its overall financial health beyond just this single metric.
How does AFC Agro Biotech's Gross Margin % compare to ZTS and VTRS?
AFC Agro Biotech's Gross Margin % of 27.39% can be compared against companies in the Drug Manufacturers industry. The industry median Gross Margin % is 48.54. AFC Agro Biotech's value of 27.39% is 43.6% below this benchmark. 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 938 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. AFC Agro Biotech's current Gross Margin % of 27.39% is 43.6% 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 AFC Agro Biotech 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. AFC Agro Biotech's current Gross Margin % is 27.39%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AFC Agro Biotech stock overvalued right now?
AFC Agro Biotech (DHA:AFCAGRO) has a current Gross Margin % of 27.39%. The current Gross Margin % is 27.39% and 43.6% below the Drug Manufacturers industry median of 48.54. AFC Agro Biotech's overall GF Score™ is 10/100. 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 AFC Agro Biotech (DHA:AFCAGRO), the current Gross Margin % is 27.39% as of Mar. 2023. 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.

AFC Agro Biotech Business Description

Address 214/D, Gulshan-Tejgaon Link Road, Navana Osman at Link, Dhaka, BGD, 1208
AFC Agro Biotech Ltd is a biotech products manufacturer. It is engaged in manufacturing biopharmaceuticals and biochemicals. It manufactures antibiotics, proteins, vaccines, enzymes from agricultural ingredients like molasses, glucose, potato starch, and other nutrients. The products manufactured by the company are macrolide protein, acetic acid, L-Lysine, monosodium glutamate, methionine, calcium hydrogen orthophosphate, magnesium carbonate, and sodium carbonate. It sells its products to the local markets in Bangladesh.
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