NSE:IL&FSENGG's Gross Margin % is ranked better than 57.25% of 1724
companies
in the Construction industry
Industry Median: 20.705
vs NSE:IL&FSENGG: 24.45
IL&FS Engineering and Construction Co had a gross margin of 46.56% for the quarter that ended in Mar. 2026 => Durable competitive advantage
IL&FS Engineering and Construction Co (NSE:IL&FSENGG) 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
IL&FS Engineering and Construction Co had a gross margin of 46.56% 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.
IL&FS Engineering and Construction Co Gross Margin % Related Terms
IL&FS Engineering and Construction Co Gross Margin % Historical Data
* 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.
IL&FS Engineering and Construction Co Gross Margin % Chart
NSE:IL&FSENGG vs PWR, FIX, EME: Gross Margin % Comparison
For the Engineering & Construction subindustry, IL&FS Engineering and Construction Co'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.
IL&FS Engineering and Construction Co Gross Margin % vs Construction Industry
For the Construction industry and Industrials sector, IL&FS Engineering and Construction Co's Gross Margin % distribution charts can be found below:
* The bar in red indicates where IL&FS Engineering and Construction Co'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.
IL&FS Engineering and Construction Co (NSE:IL&FSENGG) has a Gross Margin % of 46.56% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on IL&FS Engineering and Construction Co and its competitors. This is 82% above median its historical median of 25.56. Over the past decade, IL&FS Engineering and Construction Co's Gross Margin % has ranged from 11.67 to 30.09. According to the industry distribution chart, IL&FS Engineering and Construction Co ranks #737 out of 1724 companies in the Construction industry, placing it in the top 42.7%.
Is IL&FS Engineering and Construction Co's Gross Margin % too high?
IL&FS Engineering and Construction Co's current Gross Margin % of 46.56% is 82% above median its 10-year median of 25.56. Over the past 10 years, this metric has ranged from a low of 11.67 to a high of 30.09. The Construction industry median Gross Margin % is 20.71. IL&FS Engineering and Construction Co's value of 46.56% is 124.9% above this industry median. Based on the distribution chart, IL&FS Engineering and Construction Co ranks #737 out of 1724 companies in the Construction industry, which is above the industry midpoint. Overall, IL&FS Engineering and Construction Co has a GF Score™ of 45/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does IL&FS Engineering and Construction Co's Gross Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, IL&FS Engineering and Construction Co ranks #737 out of 1724 companies for Gross Margin %. This puts IL&FS Engineering and Construction Co in the upper half of its industry. The industry median Gross Margin % is 20.71. IL&FS Engineering and Construction Co's value of 46.56% is 124.9% above this benchmark. Historically, IL&FS Engineering and Construction Co's own Gross Margin % has ranged from 11.67 to 30.09 over the past decade. While the company's 10-year median is 25.56 vs. the industry median of 20.71, IL&FS Engineering and Construction Co 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 Construction company?
The median Gross Margin % among Construction companies is 20.71, based on 1,724 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. IL&FS Engineering and Construction Co's current Gross Margin % of 46.56% is 124.9% 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 IL&FS Engineering and Construction Co and its competitors. For the Construction industry, the median Gross Margin % is 20.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. IL&FS Engineering and Construction Co's current Gross Margin % is 46.56%, which is 82% above median its own 10-year median of 25.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is IL&FS Engineering and Construction Co stock overvalued right now?
Based on GuruFocus' analysis, IL&FS Engineering and Construction Co (NSE:IL&FSENGG) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹20.74, compared to a current price of ₹30.45 — trading 46.8% above its estimated fair value. The current Gross Margin % is 46.56%, which is 82% above median its 10-year median of 25.56 and 124.9% above the Construction industry median of 20.71. IL&FS Engineering and Construction Co's overall GF Score™ is 45/100 with 8 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 IL&FS Engineering and Construction Co (NSE:IL&FSENGG), the current Gross Margin % is 46.56% 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 IL&FS Engineering and Construction Co (NSE:IL&FSENGG) Overvalued in 2026?
Based on GuruFocus' analysis, IL&FS Engineering and Construction Co stock appears to be overvalued.
The current stock price of ₹30.45 is trading 46.8% above its estimated GF Value™ of ₹20.74.
GuruFocus considers IL&FS Engineering and Construction Co to be Significantly Overvalued.
Key valuation signals for NSE:IL&FSENGG:
Gross Margin %: 46.56% (82% above median its 10-year median of 25.56)
GF Value™: ₹20.74 vs. price of ₹30.45 (46.8% above fair value)
Industry Position: 124.9% above the Construction median (#737 of 1724)
No single metric tells the full story. See the NSE:IL&FSENGG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
IL&FS Engineering and Construction Co Business Description
IL&FS Engineering and Construction Co Ltd is engaged in the construction and infrastructure development business. It is in the business of erection/construction of roads, irrigation projects, buildings, oil and gas infrastructure, railway infrastructure, power plants, power transmission and distribution lines including rural electrification and development of airports. The operating segment of the company is Construction and Infrastructure Development. It derives prime revenue from India.
45GF Score
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Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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