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Rachana Infrastructure (NSE:RILINFRA) Gross Margin % : 17.91% (As of Mar. 2024)


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What is Rachana Infrastructure Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Rachana Infrastructure's Gross Profit for the six months ended in Mar. 2024 was ₹116.1 Mil. Rachana Infrastructure's Revenue for the six months ended in Mar. 2024 was ₹648.0 Mil. Therefore, Rachana Infrastructure's Gross Margin % for the quarter that ended in Mar. 2024 was 17.91%.


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

NSE:RILINFRA' s Gross Margin % Range Over the Past 10 Years
Min: 20.22   Med: 24.95   Max: 31.65
Current: 21.07


During the past 6 years, the highest Gross Margin % of Rachana Infrastructure was 31.65%. The lowest was 20.22%. And the median was 24.95%.

NSE:RILINFRA's Gross Margin % is ranked better than
53.41% of 1614 companies
in the Construction industry
Industry Median: 19.495 vs NSE:RILINFRA: 21.07

Rachana Infrastructure had a gross margin of 17.91% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Rachana Infrastructure was -0.60% per year.


Rachana Infrastructure Gross Margin % Historical Data

The historical data trend for Rachana Infrastructure'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.

Rachana Infrastructure Gross Margin % Chart

Rachana Infrastructure Annual Data
Trend Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Gross Margin %
Get a 7-Day Free Trial 20.22 21.38 31.65 28.52 21.07

Rachana Infrastructure Semi-Annual Data
Mar19 Mar20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24
Gross Margin % Get a 7-Day Free Trial Premium Member Only 25.71 31.36 26.68 28.74 17.91

Competitive Comparison of Rachana Infrastructure's Gross Margin %

For the Infrastructure Operations subindustry, Rachana Infrastructure'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.


Rachana Infrastructure's Gross Margin % Distribution in the Construction Industry

For the Construction industry and Industrials sector, Rachana Infrastructure's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Rachana Infrastructure's Gross Margin % falls into.



Rachana Infrastructure Gross Margin % Calculation

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

Rachana Infrastructure'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 )
=192.8 / 914.759
=(Revenue - Cost of Goods Sold) / Revenue
=(914.759 - 721.999) / 914.759
=21.07 %

Rachana Infrastructure's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=116.1 / 648.011
=(Revenue - Cost of Goods Sold) / Revenue
=(648.011 - 531.923) / 648.011
=17.91 %

* 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.


Rachana Infrastructure  (NSE:RILINFRA) 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

Rachana Infrastructure had a gross margin of 17.91% for the quarter that ended in Mar. 2024 => No sustainable 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.


Rachana Infrastructure Gross Margin % Related Terms

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Rachana Infrastructure (NSE:RILINFRA) Business Description

Traded in Other Exchanges
N/A
Address
Croma Cross Road, Off. Sindhubhavan Road, 604, 6th Floor, Zion Z-One, Near Hotel Avalon, Bodakdev, Ahmedabad, GJ, IND, 380054
Rachana Infrastructure Ltd is engaged in the business of Construction of Road projects on a Bill of Quantities and EPC basis. The company operates in two business segments; Road and Highway Construction projects; Trading and Quarry Mining.

Rachana Infrastructure (NSE:RILINFRA) Headlines

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