MothercareLSE:MTCF 12 Gross Margin % is 43.10% as of Sep. 2025, which is 65% above its 10-year median of 26.10. GuruFocus rates LSE:MTCF with a GF Score™ of 12/100. The stock has 6 warning signs investors should review. Among 1,113 Retail - Cyclical companies, Mothercare ranks better than 53.37% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. Mothercare's Gross Profit for the
six
months ended in Sep. 2025 was £5.00 Mil. Mothercare's Revenue for the
six
months ended in Sep. 2025 was £11.60 Mil. Therefore, Mothercare's Gross Margin % for the quarter that ended in Sep. 2025 was 43.10%.
The historical rank and industry rank for Mothercare's Gross Margin % or its related term are showing as below:
LSE:MTCF'
s Gross Margin % Range Over the Past 10 Years
Min: 1.96 Med: 26.1 Max: 36.5
Current: 37.97
During the past 13 years, the highestGross Margin % of Mothercare was 36.50%. The lowest was 1.96%. And the median was 26.10%.
LSE:MTCF's Gross Margin % is ranked better than 53.37% of 1113
companies
in the Retail - Cyclical industry
Industry Median: 36.26
vs LSE:MTCF: 37.97
Mothercare had a gross margin of 43.10% for the quarter that ended in Sep. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Mothercare was 9.70% per year.
Mothercare (LSE:MTCF) 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
Mothercare had a gross margin of 43.10% for the quarter that ended in Sep. 2025 => 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.
Mothercare Gross Margin % Related Terms
Mothercare Gross Margin % Historical Data
* Premium members only.
The historical data trend for Mothercare'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.
LSE:MTCF vs CASY, WSM, DKS: Gross Margin % Comparison
For the Specialty Retail subindustry, Mothercare'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.
Mothercare Gross Margin % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Mothercare's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Mothercare'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.
Mothercare (LSE:MTCF) has a Gross Margin % of 43.10% as of Sep. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Mothercare and its competitors. This is 65% above median its historical median of 26.10. Over the past decade, Mothercare's Gross Margin % has ranged from 1.96 to 36.50. According to the industry distribution chart, Mothercare ranks #519 out of 1113 companies in the Retail - Cyclical industry, placing it in the top 46.6%.
Is Mothercare's Gross Margin % too high?
Mothercare's current Gross Margin % of 43.10% is 65% above median its 10-year median of 26.10. Over the past 10 years, this metric has ranged from a low of 1.96 to a high of 36.50. The Retail - Cyclical industry median Gross Margin % is 36.26. Mothercare's value of 43.10% is 18.9% above this industry median. Based on the distribution chart, Mothercare ranks #519 out of 1113 companies in the Retail - Cyclical industry, which is above the industry midpoint. Overall, Mothercare has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Mothercare's Gross Margin % compare to CASY and WSM?
According to the Retail - Cyclical industry distribution chart, Mothercare ranks #519 out of 1113 companies for Gross Margin %. This puts Mothercare in the upper half of its industry. The industry median Gross Margin % is 36.26. Mothercare's value of 43.10% is 18.9% above this benchmark. Historically, Mothercare's own Gross Margin % has ranged from 1.96 to 36.50 over the past decade. While the company's 10-year median is 26.10 vs. the industry median of 36.26, Mothercare 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 Retail - Cyclical company?
The median Gross Margin % among Retail - Cyclical companies is 36.26, based on 1,113 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. Mothercare's current Gross Margin % of 43.10% is 18.9% 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 Mothercare and its competitors. For the Retail - Cyclical industry, the median Gross Margin % is 36.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mothercare's current Gross Margin % is 43.10%, which is 65% above median its own 10-year median of 26.10. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mothercare stock overvalued right now?
Mothercare (LSE:MTCF) has a current Gross Margin % of 43.10%. The current Gross Margin % is 43.10%, which is 65% above median its 10-year median of 26.10 and 18.9% above the Retail - Cyclical industry median of 36.26. Mothercare's overall GF Score™ is 12/100 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 Mothercare (LSE:MTCF), the current Gross Margin % is 43.10% as of Sep. 2025. 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.
Mothercare PLC is the owner of a specialist brand that designs, sources, and supplies products across clothing, equipment, and other products for parents and young children around the world. The Mothercare brand is presented in stores and online through a network of franchise partners globally. Its product offerings span across clothing and many other essential categories including baby nursery, feedtime, bathtime, and playtime. The company generates a majority of its revenue in the form of the sale of goods to franchise partners, and the rest through royalties income. Geographically, it derives maximum revenue from Europe and the rest from Asia and the Middle East.
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