PT Wijaya Karya (Persero) Tbk (FRA:5AA) 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
PT Wijaya Karya (Persero) Tbk had a gross margin of 9.15% 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.
PT Wijaya Karya (Persero) Tbk Gross Margin % Related Terms
PT Wijaya Karya (Persero) Tbk Gross Margin % Historical Data
* 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.
PT Wijaya Karya (Persero) Tbk Gross Margin % Chart
For the Engineering & Construction subindustry, PT Wijaya Karya (Persero) Tbk'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.
PT Wijaya Karya (Persero) Tbk Gross Margin % vs Construction Industry
For the Construction industry and Industrials sector, PT Wijaya Karya (Persero) Tbk's Gross Margin % distribution charts can be found below:
* The bar in red indicates where PT Wijaya Karya (Persero) Tbk's Gross Margin % falls into.
* 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.
PT Wijaya Karya (Persero) Tbk (FRA:5AA) has a Gross Margin % of 9.15% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on PT Wijaya Karya (Persero) Tbk and its competitors. This is near median its historical median of 9.88. Over the past decade, PT Wijaya Karya (Persero) Tbk's Gross Margin % has ranged from 7.89 to 13.99.
Is PT Wijaya Karya (Persero) Tbk's Gross Margin % too high?
PT Wijaya Karya (Persero) Tbk's current Gross Margin % of 9.15% is near median its 10-year median of 9.88. Over the past 10 years, this metric has ranged from a low of 7.89 to a high of 13.99. The Construction industry median Gross Margin % is 20.79. PT Wijaya Karya (Persero) Tbk's value of 9.15% is 56% below this industry median. Overall, PT Wijaya Karya (Persero) Tbk has a GF Score™ of 10/100, reflecting its overall financial health beyond just this single metric.
How does PT Wijaya Karya (Persero) Tbk's Gross Margin % compare to PWR and EME?
PT Wijaya Karya (Persero) Tbk's Gross Margin % of 9.15% can be compared against companies in the Construction industry. The industry median Gross Margin % is 20.79. PT Wijaya Karya (Persero) Tbk's value of 9.15% is 56% below this benchmark. Historically, PT Wijaya Karya (Persero) Tbk's own Gross Margin % has ranged from 7.89 to 13.99 over the past decade. While the company's 10-year median is 9.88 vs. the industry median of 20.79, PT Wijaya Karya (Persero) Tbk 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 20.79, based on 1,718 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. PT Wijaya Karya (Persero) Tbk's current Gross Margin % of 9.15% is 56% 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 PT Wijaya Karya (Persero) Tbk and its competitors. For the Construction industry, the median Gross Margin % is 20.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PT Wijaya Karya (Persero) Tbk's current Gross Margin % is 9.15%, which is near median its own 10-year median of 9.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PT Wijaya Karya (Persero) Tbk stock overvalued right now?
PT Wijaya Karya (Persero) Tbk (FRA:5AA) has a current Gross Margin % of 9.15%. The current Gross Margin % is 9.15%, which is near median its 10-year median of 9.88 and 56% below the Construction industry median of 20.79. PT Wijaya Karya (Persero) Tbk's overall GF Score™ is 10/100 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 PT Wijaya Karya (Persero) Tbk (FRA:5AA), the current Gross Margin % is 9.15% 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.
PT Wijaya Karya (Persero) Tbk Business Description
PT Wijaya Karya (Persero) Tbk is an engineering and construction firm focusing on construction, large infrastructure projects, energy plants, real estate, and other developments. It constructs transportation networks for public systems and builds residential and commercial buildings for various end markets. The firm has five business segments: infrastructure and buildings, energy and industrial plants, Investment, realty and property, and industry. The company generates the majority of its revenue from Infrastructure and Building, which consists of a general civil construction services business that includes the construction of commercial facilities and infrastructure such as roads, bridges, seaports, airports, jetties, and residential construction.
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