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Nahar Spinning Mills (NSE:NAHARSPING) Gross Margin % : 32.27% (As of Dec. 2024)


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What is Nahar Spinning Mills Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Nahar Spinning Mills's Gross Profit for the three months ended in Dec. 2024 was ₹2,621 Mil. Nahar Spinning Mills's Revenue for the three months ended in Dec. 2024 was ₹8,122 Mil. Therefore, Nahar Spinning Mills's Gross Margin % for the quarter that ended in Dec. 2024 was 32.27%.

Warning Sign:

Nahar Spinning Mills Ltd gross margin has been in long-term decline. The average rate of decline per year is -4.2%.


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

NSE:NAHARSPING' s Gross Margin % Range Over the Past 10 Years
Min: 25.8   Med: 34.2   Max: 42.63
Current: 27


During the past 13 years, the highest Gross Margin % of Nahar Spinning Mills was 42.63%. The lowest was 25.80%. And the median was 34.20%.

NSE:NAHARSPING's Gross Margin % is ranked better than
52.5% of 1019 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 25.27 vs NSE:NAHARSPING: 27.00

Nahar Spinning Mills had a gross margin of 32.27% for the quarter that ended in Dec. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Nahar Spinning Mills was -4.20% per year.


Nahar Spinning Mills Gross Margin % Historical Data

The historical data trend for Nahar Spinning Mills'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.

Nahar Spinning Mills Gross Margin % Chart

Nahar Spinning Mills 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 30.54 34.68 41.72 28.89 25.80

Nahar Spinning Mills Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 29.67 11.72 33.37 28.92 32.27

Competitive Comparison of Nahar Spinning Mills's Gross Margin %

For the Textile Manufacturing subindustry, Nahar Spinning Mills'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.


Nahar Spinning Mills's Gross Margin % Distribution in the Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Nahar Spinning Mills's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Nahar Spinning Mills's Gross Margin % falls into.


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Nahar Spinning Mills Gross Margin % Calculation

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

Nahar Spinning Mills'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 )
=7622.6 / 29547.023
=(Revenue - Cost of Goods Sold) / Revenue
=(29547.023 - 21924.378) / 29547.023
=25.80 %

Nahar Spinning Mills's Gross Margin for the quarter that ended in Dec. 2024 is calculated as


Gross Margin % (Q: Dec. 2024 )=Gross Profit (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=2621.2 / 8121.659
=(Revenue - Cost of Goods Sold) / Revenue
=(8121.659 - 5500.494) / 8121.659
=32.27 %

* 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.


Nahar Spinning Mills  (NSE:NAHARSPING) 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

Nahar Spinning Mills had a gross margin of 32.27% for the quarter that ended in Dec. 2024 => 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.


Nahar Spinning Mills Gross Margin % Related Terms

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Nahar Spinning Mills Business Description

Traded in Other Exchanges
Address
373, Industrial Area - A, Nahar Tower, Ludhiana, PB, IND, 141 003
Nahar Spinning Mills Ltd is a textile company. It is engaged in the manufacturing and export of yarns and knitted garments. Its products include Textiles Yarns, Woven Fabrics, Knitwears and Garments, Sugar, and Other Products.

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