RAK Ceramics (Bangladesh) (DHA:RAKCERAMIC) Gross Margin %: 16.80% (As of Mar. 2026) — 40% Below Median

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DHA:RAKCERAMIC RAK Ceramics (Bangladesh) Ltd DHA:RAKCERAMIC
67 GF Score
Price BDT31.40
GF Value BDT26.77
Valuation Modestly Overvalued
! 8 Warning Signs
View Full Analysis

What is RAK Ceramics (Bangladesh) Gross Margin %?

RAK Ceramics (Bangladesh) DHA:RAKCERAMIC +0.96% 67 Gross Margin % is 16.80% as of Mar. 2026, which is 40% below its 10-year median of 27.97. GuruFocus rates DHA:RAKCERAMIC with a GF Score™ of 67/100 and a GF Value™ of BDT26.77 (Modestly Overvalued). The stock has 8 warning signs investors should review. Among 1,725 Construction companies, RAK Ceramics (Bangladesh) ranks worse than 72.29% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. RAK Ceramics (Bangladesh)'s Gross Profit for the three months ended in Mar. 2026 was BDT294 Mil. RAK Ceramics (Bangladesh)'s Revenue for the three months ended in Mar. 2026 was BDT1,747 Mil. Therefore, RAK Ceramics (Bangladesh)'s Gross Margin % for the quarter that ended in Mar. 2026 was 16.80%.

Warning Sign:

RAK Ceramics (Bangladesh) Ltd gross margin has been in long-term decline. The average rate of decline per year is -11.5%.


The historical rank and industry rank for RAK Ceramics (Bangladesh)'s Gross Margin % or its related term are showing as below:

DHA:RAKCERAMIC' s Gross Margin % Range Over the Past 10 Years
Min: 12.62   Med: 27.97   Max: 42.56
Current: 12.62


During the past 13 years, the highest Gross Margin % of RAK Ceramics (Bangladesh) was 42.56%. The lowest was 12.62%. And the median was 27.97%.

DHA:RAKCERAMIC's Gross Margin % is ranked worse than
72.29% of 1725 companies
in the Construction industry
Industry Median: 20.7 vs DHA:RAKCERAMIC: 12.62

RAK Ceramics (Bangladesh) had a gross margin of 16.80% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for RAK Ceramics (Bangladesh) was -11.50% per year.


RAK Ceramics (Bangladesh)  (DHA:RAKCERAMIC) 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

RAK Ceramics (Bangladesh) had a gross margin of 16.80% 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.


RAK Ceramics (Bangladesh) Gross Margin % Related Terms


RAK Ceramics (Bangladesh) Gross Margin % Historical Data

* Premium members only.

The historical data trend for RAK Ceramics (Bangladesh)'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.

RAK Ceramics (Bangladesh) Gross Margin % Chart

RAK Ceramics (Bangladesh) Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 29.67 26.43 24.97 17.19 13.19

RAK Ceramics (Bangladesh) Quarterly Data
Jun21 Sep21 Dec21 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 20.41 10.13 17.42 6.66 16.80

DHA:RAKCERAMIC vs TT, JCI, CARR: Gross Margin % Comparison

For the Building Products & Equipment subindustry, RAK Ceramics (Bangladesh)'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.


RAK Ceramics (Bangladesh) Gross Margin % vs Construction Industry

For the Construction industry and Industrials sector, RAK Ceramics (Bangladesh)'s Gross Margin % distribution charts can be found below:

* The bar in red indicates where RAK Ceramics (Bangladesh)'s Gross Margin % falls into.


DHA:RAKCERAMIC
67GF Score
RAK Ceramics (Bangladesh) Ltd DHA:RAKCERAMIC
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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RAK Ceramics (Bangladesh) Gross Margin % Calculation

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

RAK Ceramics (Bangladesh)'s Gross Margin for the fiscal year that ended in Dec. 2025 is calculated as

Gross Margin % (A: Dec. 2025 )=Gross Profit (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=972.9 / 7373.302
=(Revenue - Cost of Goods Sold) / Revenue
=(7373.302 - 6400.431) / 7373.302
=13.19 %

RAK Ceramics (Bangladesh)'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 )
=293.5 / 1746.832
=(Revenue - Cost of Goods Sold) / Revenue
=(1746.832 - 1453.325) / 1746.832
=16.80 %

* 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 16.80% mean?
RAK Ceramics (Bangladesh) (DHA:RAKCERAMIC) has a Gross Margin % of 16.80% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on RAK Ceramics (Bangladesh) and its competitors. This is 40% below median its historical median of 27.97. Over the past decade, RAK Ceramics (Bangladesh)'s Gross Margin % has ranged from 12.62 to 42.56. According to the industry distribution chart, RAK Ceramics (Bangladesh) ranks #1247 out of 1725 companies in the Construction industry, placing it in the top 72.3%.
Is RAK Ceramics (Bangladesh)'s Gross Margin % too high?
RAK Ceramics (Bangladesh)'s current Gross Margin % of 16.80% is 40% below median its 10-year median of 27.97. Over the past 10 years, this metric has ranged from a low of 12.62 to a high of 42.56. The Construction industry median Gross Margin % is 20.70. RAK Ceramics (Bangladesh)'s value of 16.80% is 18.8% below this industry median. Based on the distribution chart, RAK Ceramics (Bangladesh) ranks #1247 out of 1725 companies in the Construction industry, which is below the industry midpoint. Overall, RAK Ceramics (Bangladesh) has a GF Score™ of 67/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does RAK Ceramics (Bangladesh)'s Gross Margin % compare to TT and JCI?
According to the Construction industry distribution chart, RAK Ceramics (Bangladesh) ranks #1247 out of 1725 companies for Gross Margin %. This places RAK Ceramics (Bangladesh) in the lower half of its industry. The industry median Gross Margin % is 20.70. RAK Ceramics (Bangladesh)'s value of 16.80% is 18.8% below this benchmark. Historically, RAK Ceramics (Bangladesh)'s own Gross Margin % has ranged from 12.62 to 42.56 over the past decade. While the company's 10-year median is 27.97 vs. the industry median of 20.70, RAK Ceramics (Bangladesh) 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 Construction company?
The median Gross Margin % among Construction companies is 20.70, based on 1,725 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. RAK Ceramics (Bangladesh)'s current Gross Margin % of 16.80% is 18.8% 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 RAK Ceramics (Bangladesh) and its competitors. For the Construction industry, the median Gross Margin % is 20.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RAK Ceramics (Bangladesh)'s current Gross Margin % is 16.80%, which is 40% below median its own 10-year median of 27.97. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RAK Ceramics (Bangladesh) stock overvalued right now?
Based on GuruFocus' analysis, RAK Ceramics (Bangladesh) (DHA:RAKCERAMIC) is currently considered Modestly Overvalued. The stock's GF Value™ is BDT26.77, compared to a current price of BDT31.40 — trading 17.3% above its estimated fair value. The current Gross Margin % is 16.80%, which is 40% below median its 10-year median of 27.97 and 18.8% below the Construction industry median of 20.70. RAK Ceramics (Bangladesh)'s overall GF Score™ is 67/100 with 8 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 RAK Ceramics (Bangladesh) (DHA:RAKCERAMIC), the current Gross Margin % is 16.80% 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 RAK Ceramics (Bangladesh) (DHA:RAKCERAMIC) Overvalued in 2026?

Based on GuruFocus' analysis, RAK Ceramics (Bangladesh) stock appears to be overvalued. The current stock price of BDT31.40 is trading 17.3% above its estimated GF Value™ of BDT26.77. GuruFocus considers RAK Ceramics (Bangladesh) to be Modestly Overvalued.

Key valuation signals for DHA:RAKCERAMIC:

  • Gross Margin %: 16.80% (40% below median its 10-year median of 27.97)
  • GF Value™: BDT26.77 vs. price of BDT31.40 (17.3% above fair value)
  • GF Score™: 67/100 with 8 warning signs
  • Industry Position: 18.8% below the Construction median (#1247 of 1725)

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


RAK Ceramics (Bangladesh) Business Description

Address Plot 1/A Jasimuddin Avenue, RAK Tower, 7th, 8th & 9th Floors, Sector-3, Uttara Model Town, Dhaka, BGD, 1230
RAK Ceramics (Bangladesh) Ltd is a tile and sanitary ware brand in Bangladesh. The core business of RAK Ceramics is to manufacture and sell ceramics and gres porcellanato (porcelain/ fully vitrified) tiles, bathroom sets, and all types of sanitary ware. The operating segments of the group are Ceramic and sanitary ware, Power and Security, and services. Substantial revenue for the group is derived from the Ceramics and sanitary ware segment that engages in manufacturing and marketing of ceramic tiles, bathroom sets, and all types of sanitary ware.
67GF Score

Get the complete analysis for DHA:RAKCERAMIC

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

BDT31.40
Price
BDT26.77
GF Value