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Pakistan Petroleum (KAR:PPL) Gross Margin % : 61.29% (As of Sep. 2024)


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What is Pakistan Petroleum Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Pakistan Petroleum's Gross Profit for the three months ended in Sep. 2024 was ₨40,932 Mil. Pakistan Petroleum's Revenue for the three months ended in Sep. 2024 was ₨66,786 Mil. Therefore, Pakistan Petroleum's Gross Margin % for the quarter that ended in Sep. 2024 was 61.29%.


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

KAR:PPL' s Gross Margin % Range Over the Past 10 Years
Min: 47.11   Med: 58.24   Max: 66.62
Current: 63.58


During the past 13 years, the highest Gross Margin % of Pakistan Petroleum was 66.62%. The lowest was 47.11%. And the median was 58.24%.

KAR:PPL's Gross Margin % is ranked better than
86.5% of 904 companies
in the Oil & Gas industry
Industry Median: 27.535 vs KAR:PPL: 63.58

Pakistan Petroleum had a gross margin of 61.29% for the quarter that ended in Sep. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Pakistan Petroleum was 2.60% per year.


Pakistan Petroleum Gross Margin % Historical Data

The historical data trend for Pakistan Petroleum'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.

* Premium members only.

Pakistan Petroleum Gross Margin % Chart

Pakistan Petroleum Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 57.64 57.79 64.78 66.62 65.20

Pakistan Petroleum Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 67.68 67.23 67.73 56.98 61.29

Competitive Comparison of Pakistan Petroleum's Gross Margin %

For the Oil & Gas E&P subindustry, Pakistan Petroleum'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.


Pakistan Petroleum's Gross Margin % Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Pakistan Petroleum's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Pakistan Petroleum's Gross Margin % falls into.



Pakistan Petroleum Gross Margin % Calculation

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

Pakistan Petroleum's Gross Margin for the fiscal year that ended in Jun. 2024 is calculated as

Gross Margin % (A: Jun. 2024 )=Gross Profit (A: Jun. 2024 ) / Revenue (A: Jun. 2024 )
=189899.5 / 291240.687
=(Revenue - Cost of Goods Sold) / Revenue
=(291240.687 - 101341.217) / 291240.687
=65.20 %

Pakistan Petroleum'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 )
=40932.2 / 66786.349
=(Revenue - Cost of Goods Sold) / Revenue
=(66786.349 - 25854.182) / 66786.349
=61.29 %

* 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.


Pakistan Petroleum  (KAR:PPL) 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

Pakistan Petroleum had a gross margin of 61.29% for the quarter that ended in Sep. 2024 => Durable 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.


Pakistan Petroleum Gross Margin % Related Terms

Thank you for viewing the detailed overview of Pakistan Petroleum's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Pakistan Petroleum Business Description

Traded in Other Exchanges
N/A
Address
Dr. Ziauddin Ahmed Road, P.O. Box 3942, 4th Floor, PIDC House, Karachi, SD, PAK, 75530
Pakistan Petroleum Ltd, or PPL along with its subsidiaries is engaged in conducting exploration, prospecting, development, and production of oil and natural gas resources. The company is organised into one operating segment i.e. exploration, development and production of oil, gas and barytes. It operates several producing fields across the country at Sui, Adhi, Kandhkot, Chachar, Mazarani, Adam, Adam West, Shadadpur and Shahdadpur West.