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Hinduja Global Solutions (NSE:HGS) Gross Margin % : 98.90% (As of Sep. 2024)


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What is Hinduja Global Solutions Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Hinduja Global Solutions's Gross Profit for the three months ended in Sep. 2024 was ₹10,752 Mil. Hinduja Global Solutions's Revenue for the three months ended in Sep. 2024 was ₹10,872 Mil. Therefore, Hinduja Global Solutions's Gross Margin % for the quarter that ended in Sep. 2024 was 98.90%.


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

NSE:HGS' s Gross Margin % Range Over the Past 10 Years
Min: 32.55   Med: 98.86   Max: 98.98
Current: 98.91


During the past 13 years, the highest Gross Margin % of Hinduja Global Solutions was 98.98%. The lowest was 32.55%. And the median was 98.86%.

NSE:HGS's Gross Margin % is ranked better than
97.96% of 981 companies
in the Business Services industry
Industry Median: 34.52 vs NSE:HGS: 98.91

Hinduja Global Solutions had a gross margin of 98.90% for the quarter that ended in Sep. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Hinduja Global Solutions was 0.00% per year.


Hinduja Global Solutions Gross Margin % Historical Data

The historical data trend for Hinduja Global 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.

Hinduja Global Solutions Gross Margin % Chart

Hinduja Global Solutions Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 98.86 98.97 98.98

Hinduja Global Solutions 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 99.22 99.16 98.46 99.09 98.90

Competitive Comparison of Hinduja Global Solutions's Gross Margin %

For the Specialty Business Services subindustry, Hinduja Global 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.


Hinduja Global Solutions's Gross Margin % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Hinduja Global Solutions's Gross Margin % distribution charts can be found below:

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



Hinduja Global Solutions Gross Margin % Calculation

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

Hinduja Global Solutions's Gross Margin for the fiscal year that ended in Mar. 2024 is calculated as

Gross Margin % (A: Mar. 2024 )=Gross Profit (A: Mar. 2024 ) / Revenue (A: Mar. 2024 )
=45405.8 / 45871.685
=(Revenue - Cost of Goods Sold) / Revenue
=(45871.685 - 465.901) / 45871.685
=98.98 %

Hinduja Global Solutions'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 )
=10752.3 / 10871.5
=(Revenue - Cost of Goods Sold) / Revenue
=(10871.5 - 119.2) / 10871.5
=98.90 %

* 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.


Hinduja Global Solutions  (NSE:HGS) 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

Hinduja Global Solutions had a gross margin of 98.90% 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.


Hinduja Global Solutions Gross Margin % Related Terms

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


Hinduja Global Solutions Business Description

Traded in Other Exchanges
Address
No. 690, Hosur Road, 1st Floor, Gold Hill Square Software Park, Bommanahalli, Bengaluru, KA, IND, 560 068
Hinduja Global Solutions Ltd is an Indian-based company, engaged in business process management services. The company offers outsourcing solutions, including back office processing, contact center, customized IT services; and voice and non-voice-related customer contact and business process outsourcing services. It also provides marketing and digital enablement services, including customer experience management, digital enablement, social media engagement, and digital marketing services, as well as consumer interaction services.

Hinduja Global Solutions Headlines

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