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Expleo Solutions (NSE:EXPLEOSOL) Gross Margin % : 36.44% (As of Mar. 2025)


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What is Expleo Solutions Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Expleo Solutions's Gross Profit for the three months ended in Mar. 2025 was ₹932 Mil. Expleo Solutions's Revenue for the three months ended in Mar. 2025 was ₹2,558 Mil. Therefore, Expleo Solutions's Gross Margin % for the quarter that ended in Mar. 2025 was 36.44%.

Warning Sign:

Expleo Solutions Ltd gross margin has been in long-term decline. The average rate of decline per year is -4%.


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

NSE:EXPLEOSOL' s Gross Margin % Range Over the Past 10 Years
Min: 32.12   Med: 39.94   Max: 51.08
Current: 39.96


During the past 13 years, the highest Gross Margin % of Expleo Solutions was 51.08%. The lowest was 32.12%. And the median was 39.94%.

NSE:EXPLEOSOL's Gross Margin % is ranked worse than
52.37% of 2639 companies
in the Software industry
Industry Median: 41.6 vs NSE:EXPLEOSOL: 39.96

Expleo Solutions had a gross margin of 36.44% for the quarter that ended in Mar. 2025 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Expleo Solutions was -4.00% per year.


Expleo Solutions Gross Margin % Historical Data

The historical data trend for Expleo Solutions'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.

Expleo Solutions Gross Margin % Chart

Expleo Solutions Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 51.08 50.25 49.19 39.91 39.96

Expleo Solutions Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 38.35 41.33 39.99 42.07 36.44

Competitive Comparison of Expleo Solutions's Gross Margin %

For the Information Technology Services subindustry, Expleo Solutions'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.


Expleo Solutions's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Expleo Solutions's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Expleo Solutions's Gross Margin % falls into.


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Expleo Solutions Gross Margin % Calculation

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

Expleo Solutions's Gross Margin for the fiscal year that ended in Mar. 2025 is calculated as

Gross Margin % (A: Mar. 2025 )=Gross Profit (A: Mar. 2025 ) / Revenue (A: Mar. 2025 )
=4094.6 / 10247.96
=(Revenue - Cost of Goods Sold) / Revenue
=(10247.96 - 6153.37) / 10247.96
=39.96 %

Expleo Solutions's Gross Margin for the quarter that ended in Mar. 2025 is calculated as


Gross Margin % (Q: Mar. 2025 )=Gross Profit (Q: Mar. 2025 ) / Revenue (Q: Mar. 2025 )
=932 / 2557.96
=(Revenue - Cost of Goods Sold) / Revenue
=(2557.96 - 1625.94) / 2557.96
=36.44 %

* 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.


Expleo Solutions  (NSE:EXPLEOSOL) 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

Expleo Solutions had a gross margin of 36.44% for the quarter that ended in Mar. 2025 => Competition eroding margins


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.


Expleo Solutions Gross Margin % Related Terms

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


Expleo Solutions Business Description

Traded in Other Exchanges
Address
6A, Sixth Floor, Prince Infocity II, Number 283/3 and 283/4, Rajiv Gandhi Salai (OMR), Kandanchavadi, Chennai, TN, IND, 600096
Expleo Solutions Ltd is an India-based holding company. It is engaged in providing software testing services. The company delivers software validation and verification services to the banking and financial services industry around the world. It offers its services to various industries, including banking, finance, and insurance; energy and utilities; automotive and manufacturing; retail and logistics, and telecommunications. The services offered by the company consist of Management Consultancy, Quality Management, Technical Testing Services and Training services.

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