Ortel Communications (NSE:ORTEL) Gross Margin %: 42.60% (As of Jun. 2021)


NSE:ORTEL Ortel Communications Ltd NSE:ORTEL
4 GF Score
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What is Ortel Communications Gross Margin %?

Ortel Communications NSE:ORTEL +4.43% 4 Gross Margin % is 42.60% as of Jun. 2021. GuruFocus rates NSE:ORTEL with a GF Score™ of 4/100.

Gross Margin % is calculated as gross profit divided by its revenue. Ortel Communications's Gross Profit for the three months ended in Jun. 2021 was ₹44.6 Mil. Ortel Communications's Revenue for the three months ended in Jun. 2021 was ₹104.7 Mil. Therefore, Ortel Communications's Gross Margin % for the quarter that ended in Jun. 2021 was 42.60%.


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


NSE:ORTEL's Gross Margin % is not ranked *
in the Media - Diversified industry.
Industry Median: 38.92
* Ranked among companies with meaningful Gross Margin % only.

Ortel Communications had a gross margin of 42.60% for the quarter that ended in Jun. 2021 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Ortel Communications was 0.00% per year.


Ortel Communications  (NSE:ORTEL) 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

Ortel Communications had a gross margin of 42.60% for the quarter that ended in Jun. 2021 => 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.


Ortel Communications Gross Margin % Related Terms


Ortel Communications Gross Margin % Historical Data

* Premium members only.

The historical data trend for Ortel Communications'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.

Ortel Communications Gross Margin % Chart

Ortel Communications Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21
Gross Margin %
Get a 7-Day Free Trial 72.74 61.90 53.27 53.02 48.52

Ortel Communications Quarterly Data
Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21
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 56.16 58.44 51.10 12.57 42.60

NSE:ORTEL vs DIS, NFLX, WBD: Gross Margin % Comparison

For the Entertainment subindustry, Ortel Communications'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.


Ortel Communications Gross Margin % vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Ortel Communications's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Ortel Communications's Gross Margin % falls into.


NSE:ORTEL
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Ortel Communications Ltd NSE:ORTEL
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Ortel Communications Gross Margin % Calculation

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

Ortel Communications's Gross Margin for the fiscal year that ended in Mar. 2021 is calculated as

Gross Margin % (A: Mar. 2021 )=Gross Profit (A: Mar. 2021 ) / Revenue (A: Mar. 2021 )
=308.2 / 635.165
=(Revenue - Cost of Goods Sold) / Revenue
=(635.165 - 327.007) / 635.165
=48.52 %

Ortel Communications's Gross Margin for the quarter that ended in Jun. 2021 is calculated as


Gross Margin % (Q: Jun. 2021 )=Gross Profit (Q: Jun. 2021 ) / Revenue (Q: Jun. 2021 )
=44.6 / 104.7
=(Revenue - Cost of Goods Sold) / Revenue
=(104.7 - 60.1) / 104.7
=42.60 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 42.60% mean?
Ortel Communications (NSE:ORTEL) has a Gross Margin % of 42.60% as of Jun. 2021. Gross margin is the ratio of total gross profit to net sales. View historical data on Ortel Communications and its competitors.
Is Ortel Communications' Gross Margin % too high?
Ortel Communications' current Gross Margin % is 42.60%. The Media - Diversified industry median Gross Margin % is 38.92. Ortel Communications' value of 42.60% is 9.5% above this industry median. Overall, Ortel Communications has a GF Score™ of 4/100, reflecting its overall financial health beyond just this single metric.
How does Ortel Communications' Gross Margin % compare to DIS and NFLX?
Ortel Communications' Gross Margin % of 42.60% can be compared against companies in the Media - Diversified industry. The industry median Gross Margin % is 38.92. Ortel Communications' value of 42.60% is 9.5% above this benchmark. 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 Media - Diversified company?
The median Gross Margin % among Media - Diversified companies is 38.92, based on 945 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. Ortel Communications's current Gross Margin % of 42.60% is 9.5% 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 Ortel Communications and its competitors. For the Media - Diversified industry, the median Gross Margin % is 38.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ortel Communications's current Gross Margin % is 42.60%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ortel Communications stock overvalued right now?
Ortel Communications (NSE:ORTEL) has a current Gross Margin % of 42.60%. The current Gross Margin % is 42.60% and 9.5% above the Media - Diversified industry median of 38.92. Ortel Communications' overall GF Score™ is 4/100. 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 Ortel Communications (NSE:ORTEL), the current Gross Margin % is 42.60% as of Jun. 2021. 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.

Ortel Communications Business Description

Address C-1, Chandrasekharpur, Behind RMRC, B.D.A. Colony, Bhubaneswar, OR, IND, 751016
Ortel Communications Ltd is a cable television service provider. The company's operating segment includes Cable TV Services, Data Services, Infrastructure Leasing (IFL), Carriage fees, and Others. It generates maximum revenue from the Cable TV segment that includes digital cable television services including other value-added services such as HD services, NVoD(Near Video on Demand), Gaming, and local content.
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