Northern Arc CapitalNSE:NORTHARC -2.31%37 Gross Margin % is 41.89% as of Mar. 2026, which is 47% above its 10-year median of 28.59. GuruFocus rates NSE:NORTHARC with a GF Score™ of 37/100. The stock has 7 warning signs investors should review. Among 387 Credit Services companies, Northern Arc Capital ranks worse than 65.12% on this metric.
The historical rank and industry rank for Northern Arc Capital's Gross Margin % or its related term are showing as below:
NSE:NORTHARC'
s Gross Margin % Range Over the Past 10 Years
Min: 23.23 Med: 28.59 Max: 39.16
Current: 39.16
During the past 6 years, the highestGross Margin % of Northern Arc Capital was 39.16%. The lowest was 23.23%. And the median was 28.59%.
NSE:NORTHARC's Gross Margin % is ranked worse than 65.12% of 387
companies
in the Credit Services industry
Industry Median: 51.88
vs NSE:NORTHARC: 39.16
Northern Arc Capital had a gross margin of 41.89% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Northern Arc Capital was 10.20% per year.
Northern Arc Capital (NSE:NORTHARC) 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
Northern Arc Capital had a gross margin of 41.89% 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.
Northern Arc Capital Gross Margin % Related Terms
Northern Arc Capital Gross Margin % Historical Data
* Premium members only.
The historical data trend for Northern Arc Capital'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.
NSE:NORTHARC vs V, MA, AXP: Gross Margin % Comparison
For the Credit Services subindustry, Northern Arc Capital'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.
Northern Arc Capital Gross Margin % vs Credit Services Industry
For the Credit Services industry and Financial Services sector, Northern Arc Capital's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Northern Arc Capital'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.
Northern Arc Capital (NSE:NORTHARC) has a Gross Margin % of 41.89% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Northern Arc Capital and its competitors. This is 47% above median its historical median of 28.59. Over the past decade, Northern Arc Capital's Gross Margin % has ranged from 23.23 to 39.16. According to the industry distribution chart, Northern Arc Capital ranks #252 out of 387 companies in the Credit Services industry, placing it in the top 65.1%.
Is Northern Arc Capital's Gross Margin % too high?
Northern Arc Capital's current Gross Margin % of 41.89% is 47% above median its 10-year median of 28.59. Over the past 10 years, this metric has ranged from a low of 23.23 to a high of 39.16. The Credit Services industry median Gross Margin % is 51.88. Northern Arc Capital's value of 41.89% is 19.3% below this industry median. Based on the distribution chart, Northern Arc Capital ranks #252 out of 387 companies in the Credit Services industry, which is below the industry midpoint. Overall, Northern Arc Capital has a GF Score™ of 37/100, reflecting its overall financial health beyond just this single metric.
How does Northern Arc Capital's Gross Margin % compare to V and MA?
According to the Credit Services industry distribution chart, Northern Arc Capital ranks #252 out of 387 companies for Gross Margin %. This places Northern Arc Capital in the lower half of its industry. The industry median Gross Margin % is 51.88. Northern Arc Capital's value of 41.89% is 19.3% below this benchmark. Historically, Northern Arc Capital's own Gross Margin % has ranged from 23.23 to 39.16 over the past decade. While the company's 10-year median is 28.59 vs. the industry median of 51.88, Northern Arc Capital has consistently been below 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 Credit Services company?
The median Gross Margin % among Credit Services companies is 51.88, based on 387 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. Northern Arc Capital's current Gross Margin % of 41.89% is 19.3% below 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 Northern Arc Capital and its competitors. For the Credit Services industry, the median Gross Margin % is 51.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Northern Arc Capital's current Gross Margin % is 41.89%, which is 47% above median its own 10-year median of 28.59. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Northern Arc Capital stock overvalued right now?
Northern Arc Capital (NSE:NORTHARC) has a current Gross Margin % of 41.89%. The current Gross Margin % is 41.89%, which is 47% above median its 10-year median of 28.59 and 19.3% below the Credit Services industry median of 51.88. Northern Arc Capital's overall GF Score™ is 37/100 with 7 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 Northern Arc Capital (NSE:NORTHARC), the current Gross Margin % is 41.89% 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.
Northern Arc Capital Ltd is a platform in the financial services sector set up to cater to the credit requirements of households and businesses by providing access to debt finance. It is principally engaged in portfolio management to provide liquidity and develop access to debt-capital markets for institutions, and providing loans for personal, business, education, and mortgage purposes to individuals by setting up microfinance institutions, online debt trading platforms, and alternative investment funds. The group has three reportable segments: Financing activity, which generates maximum revenue; Investment advisory services; and Investment management services. Geographically, it operates only in India.
37GF Score
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