Scope Industries BhdXKLS:0028 +6.67% Gross Margin % is 40.47% as of Mar. 2026, which is 246% above its 10-year median of 11.71. The stock has 2 warning signs investors should review. Among 2,453 Hardware companies, Scope Industries Bhd ranks better than 55.12% on this metric.
The historical rank and industry rank for Scope Industries Bhd's Gross Margin % or its related term are showing as below:
XKLS:0028'
s Gross Margin % Range Over the Past 10 Years
Min: -12.09 Med: 11.71 Max: 34.34
Current: 27.26
During the past 13 years, the highestGross Margin % of Scope Industries Bhd was 34.34%. The lowest was -12.09%. And the median was 11.71%.
XKLS:0028's Gross Margin % is ranked better than 55.12% of 2453
companies
in the Hardware industry
Industry Median: 24.52
vs XKLS:0028: 27.26
Scope Industries Bhd had a gross margin of 40.47% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Scope Industries Bhd was 0.00% per year.
Scope Industries Bhd (XKLS:0028) 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
Scope Industries Bhd had a gross margin of 40.47% 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.
Scope Industries Bhd Gross Margin % Related Terms
Scope Industries Bhd Gross Margin % Historical Data
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The historical data trend for Scope Industries Bhd'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.
For the Electronic Components subindustry, Scope Industries Bhd'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.
Scope Industries Bhd Gross Margin % vs Hardware Industry
For the Hardware industry and Technology sector, Scope Industries Bhd's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Scope Industries Bhd'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.
Scope Industries Bhd (XKLS:0028) has a Gross Margin % of 40.47% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Scope Industries Bhd and its competitors. This is 246% above median its historical median of 11.71. According to the industry distribution chart, Scope Industries Bhd ranks #1101 out of 2453 companies in the Hardware industry, placing it in the top 44.9%.
Is Scope Industries Bhd's Gross Margin % too high?
Scope Industries Bhd's current Gross Margin % of 40.47% is 246% above median its 10-year median of 11.71. The Hardware industry median Gross Margin % is 24.52. Scope Industries Bhd's value of 40.47% is 65% above this industry median. Based on the distribution chart, Scope Industries Bhd ranks #1101 out of 2453 companies in the Hardware industry, which is above the industry midpoint.
How does Scope Industries Bhd's Gross Margin % compare to APH and GLW?
According to the Hardware industry distribution chart, Scope Industries Bhd ranks #1101 out of 2453 companies for Gross Margin %. This puts Scope Industries Bhd in the upper half of its industry. The industry median Gross Margin % is 24.52. Scope Industries Bhd's value of 40.47% is 65% above this benchmark. While the company's 10-year median is 11.71 vs. the industry median of 24.52, Scope Industries Bhd 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 Hardware company?
The median Gross Margin % among Hardware companies is 24.52, based on 2,453 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. Scope Industries Bhd's current Gross Margin % of 40.47% is 65% 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 Scope Industries Bhd and its competitors. For the Hardware industry, the median Gross Margin % is 24.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Scope Industries Bhd's current Gross Margin % is 40.47%, which is 246% above median its own 10-year median of 11.71. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Scope Industries Bhd stock overvalued right now?
Based on GuruFocus' analysis, Scope Industries Bhd (XKLS:0028) is currently considered Significantly Overvalued. The stock's GF Value™ is RM0.02, compared to a current price of RM0.08 — trading 300% above its estimated fair value. The current Gross Margin % is 40.47%, which is 246% above median its 10-year median of 11.71 and 65% above the Hardware industry median of 24.52. 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 Scope Industries Bhd (XKLS:0028), the current Gross Margin % is 40.47% 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.
Scope Industries Bhd operates as an investment holding company. The company is engaged in the manufacturing and assembling of electrical and electronic components and products as well as in the cultivation of oil palms. It operates through the following business segments: Manufacturing Division; Plantation Division and Trading Division. Its Manufacturing Division segment accounts for maximum of the firm's revenue. Geographically, it operates in Malaysia, Hong Kong, Europe, Singapore and Taiwan and derives majority of revenue from Hong Kong.
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