Gulf Franchising Holding Co KSCC (KUW:GFC) Gross Margin %: 71.83% (As of Mar. 2026) — 14% Above Median

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KUW:GFC Gulf Franchising Holding Co KSCC KUW:GFC
16 GF Score
Price KWD0.36
GF Value KWD0.22
Valuation Significantly Overvalued
! 5 Warning Signs
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What is Gulf Franchising Holding Co KSCC Gross Margin %?

Gulf Franchising Holding Co KSCC KUW:GFC -2.74% 16 Gross Margin % is 71.83% as of Mar. 2026, which is 14% above its 10-year median of 62.91. GuruFocus rates KUW:GFC with a GF Score™ of 16/100 and a GF Value™ of KWD0.22 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 1,008 Business Services companies, Gulf Franchising Holding Co KSCC ranks better than 83.63% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Gulf Franchising Holding Co KSCC's Gross Profit for the three months ended in Mar. 2026 was KWD2.48 Mil. Gulf Franchising Holding Co KSCC's Revenue for the three months ended in Mar. 2026 was KWD3.46 Mil. Therefore, Gulf Franchising Holding Co KSCC's Gross Margin % for the quarter that ended in Mar. 2026 was 71.83%.


The historical rank and industry rank for Gulf Franchising Holding Co KSCC's Gross Margin % or its related term are showing as below:

KUW:GFC' s Gross Margin % Range Over the Past 10 Years
Min: 59.66   Med: 62.91   Max: 70.69
Current: 70.69


During the past 13 years, the highest Gross Margin % of Gulf Franchising Holding Co KSCC was 70.69%. The lowest was 59.66%. And the median was 62.91%.

KUW:GFC's Gross Margin % is ranked better than
83.63% of 1008 companies
in the Business Services industry
Industry Median: 34.515 vs KUW:GFC: 70.69

Gulf Franchising Holding Co KSCC had a gross margin of 71.83% for the quarter that ended in Mar. 2026 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Gulf Franchising Holding Co KSCC was 2.40% per year.


Gulf Franchising Holding Co KSCC  (KUW:GFC) 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

Gulf Franchising Holding Co KSCC had a gross margin of 71.83% for the quarter that ended in Mar. 2026 => 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.


Gulf Franchising Holding Co KSCC Gross Margin % Related Terms


Gulf Franchising Holding Co KSCC Gross Margin % Historical Data

* Premium members only.

The historical data trend for Gulf Franchising Holding Co KSCC'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.

Gulf Franchising Holding Co KSCC Gross Margin % Chart

Gulf Franchising Holding Co KSCC 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 62.56 62.33 63.68 65.07 68.60

Gulf Franchising Holding Co KSCC 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 65.53 65.12 67.00 71.39 71.83

KUW:GFC vs CTAS, CPRT, ULS: Gross Margin % Comparison

For the Specialty Business Services subindustry, Gulf Franchising Holding Co KSCC'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.


Gulf Franchising Holding Co KSCC Gross Margin % vs Business Services Industry

For the Business Services industry and Industrials sector, Gulf Franchising Holding Co KSCC's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Gulf Franchising Holding Co KSCC's Gross Margin % falls into.


KUW:GFC
16GF Score
Gulf Franchising Holding Co KSCC KUW:GFC
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Gulf Franchising Holding Co KSCC Gross Margin % Calculation

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

Gulf Franchising Holding Co KSCC'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 )
=2.6 / 3.841
=(Revenue - Cost of Goods Sold) / Revenue
=(3.841 - 1.206) / 3.841
=68.60 %

Gulf Franchising Holding Co KSCC'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 )
=2.5 / 3.458
=(Revenue - Cost of Goods Sold) / Revenue
=(3.458 - 0.974) / 3.458
=71.83 %

* 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 71.83% mean?
Gulf Franchising Holding Co KSCC (KUW:GFC) has a Gross Margin % of 71.83% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Gulf Franchising Holding Co KSCC and its competitors. This is 14% above median its historical median of 62.91. Over the past decade, Gulf Franchising Holding Co KSCC's Gross Margin % has ranged from 59.66 to 70.69. According to the industry distribution chart, Gulf Franchising Holding Co KSCC ranks #165 out of 1008 companies in the Business Services industry, placing it in the top 16.4%.
Is Gulf Franchising Holding Co KSCC's Gross Margin % too high?
Gulf Franchising Holding Co KSCC's current Gross Margin % of 71.83% is 14% above median its 10-year median of 62.91. Over the past 10 years, this metric has ranged from a low of 59.66 to a high of 70.69. The Business Services industry median Gross Margin % is 34.52. Gulf Franchising Holding Co KSCC's value of 71.83% is 108.1% above this industry median. Based on the distribution chart, Gulf Franchising Holding Co KSCC ranks #165 out of 1008 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, Gulf Franchising Holding Co KSCC has a GF Score™ of 16/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Gulf Franchising Holding Co KSCC's Gross Margin % compare to CTAS and CPRT?
According to the Business Services industry distribution chart, Gulf Franchising Holding Co KSCC ranks #165 out of 1008 companies for Gross Margin %. This places Gulf Franchising Holding Co KSCC in the top 16% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 34.52. Gulf Franchising Holding Co KSCC's value of 71.83% is 108.1% above this benchmark. Historically, Gulf Franchising Holding Co KSCC's own Gross Margin % has ranged from 59.66 to 70.69 over the past decade. While the company's 10-year median is 62.91 vs. the industry median of 34.52, Gulf Franchising Holding Co KSCC has consistently been above 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 Business Services company?
The median Gross Margin % among Business Services companies is 34.52, based on 1,008 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. Gulf Franchising Holding Co KSCC's current Gross Margin % of 71.83% is 108.1% above 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 Gulf Franchising Holding Co KSCC and its competitors. For the Business Services industry, the median Gross Margin % is 34.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gulf Franchising Holding Co KSCC's current Gross Margin % is 71.83%, which is 14% above median its own 10-year median of 62.91. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gulf Franchising Holding Co KSCC stock overvalued right now?
Based on GuruFocus' analysis, Gulf Franchising Holding Co KSCC (KUW:GFC) is currently considered Significantly Overvalued. The stock's GF Value™ is KWD0.22, compared to a current price of KWD0.36 — trading 61.4% above its estimated fair value. The current Gross Margin % is 71.83%, which is 14% above median its 10-year median of 62.91 and 108.1% above the Business Services industry median of 34.52. Gulf Franchising Holding Co KSCC's overall GF Score™ is 16/100 with 5 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 Gulf Franchising Holding Co KSCC (KUW:GFC), the current Gross Margin % is 71.83% 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 Gulf Franchising Holding Co KSCC (KUW:GFC) Overvalued in 2026?

Based on GuruFocus' analysis, Gulf Franchising Holding Co KSCC stock appears to be overvalued. The current stock price of KWD0.36 is trading 61.4% above its estimated GF Value™ of KWD0.22. GuruFocus considers Gulf Franchising Holding Co KSCC to be Significantly Overvalued.

Key valuation signals for KUW:GFC:

  • Gross Margin %: 71.83% (14% above median its 10-year median of 62.91)
  • GF Value™: KWD0.22 vs. price of KWD0.36 (61.4% above fair value)
  • GF Score™: 16/100 with 5 warning signs
  • Industry Position: 108.1% above the Business Services median (#165 of 1008)

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


Gulf Franchising Holding Co KSCC Business Description

Address Jaber Al Mubarak Street, Block 2, PO Box 21839, Plot 29, 7th Floor, Salah Fahd Sultan Building, Sharq, Safat, Kuwait, KWT, 13079
Gulf Franchising Holding Co KSCC is a franchise developer operating across the Gulf countries of Kuwait, the UAE, Bahrain, Saudi Arabia, Oman, and Qatar. The company offers franchising opportunities for the following brands: Computer Troubleshooters, Premiere Executive, Bon Sweets, Beit Dickson, and Adolfo Dominguez. Along with its subsidiaries, the company operates in the following segments: Investments, Trading, and Food Catering. Maximum revenue is generated from the Investments segment, which is engaged in the utilization of franchising activities, property ownership, and investment. The Trading segment is involved in general trading activities, and the Food Catering segment engages in the catering of foodstuffs.
16GF Score

Get the complete analysis for KUW:GFC

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

KWD0.36
Price
KWD0.22
GF Value