Infoline Tec Group BhdXKLS:0253 -1.41%68 Gross Margin % is 41.81% as of Mar. 2026, which is 14% above its 10-year median of 36.62. GuruFocus rates XKLS:0253 with a GF Score™ of 68/100 and a GF Value™ of RM0.84 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 2,680 Software companies, Infoline Tec Group Bhd ranks worse than 59.48% on this metric.
XKLS:0253's Gross Margin % is ranked worse than 59.48% of 2680
companies
in the Software industry
Industry Median: 40.45
vs XKLS:0253: 33.02
Infoline Tec Group Bhd had a gross margin of 41.81% for the quarter that ended in Mar. 2026 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Infoline Tec Group Bhd was 3.30% per year.
Infoline Tec Group Bhd (XKLS:0253) 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
Infoline Tec Group Bhd had a gross margin of 41.81% 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.
Infoline Tec Group Bhd Gross Margin % Related Terms
Infoline Tec Group Bhd Gross Margin % Historical Data
* Premium members only.
The historical data trend for Infoline Tec Group 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.
XKLS:0253 vs MSFT, ORCL, PLTR: Gross Margin % Comparison
For the Software - Infrastructure subindustry, Infoline Tec Group 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.
Infoline Tec Group Bhd Gross Margin % vs Software Industry
For the Software industry and Technology sector, Infoline Tec Group Bhd's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Infoline Tec Group 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.
Infoline Tec Group Bhd (XKLS:0253) has a Gross Margin % of 41.81% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Infoline Tec Group Bhd and its competitors. This is 14% above median its historical median of 36.62. Over the past decade, Infoline Tec Group Bhd's Gross Margin % has ranged from 28.64 to 52.47. According to the industry distribution chart, Infoline Tec Group Bhd ranks #1594 out of 2680 companies in the Software industry, placing it in the top 59.5%.
Is Infoline Tec Group Bhd's Gross Margin % too high?
Infoline Tec Group Bhd's current Gross Margin % of 41.81% is 14% above median its 10-year median of 36.62. Over the past 10 years, this metric has ranged from a low of 28.64 to a high of 52.47. The Software industry median Gross Margin % is 40.45. Infoline Tec Group Bhd's value of 41.81% is 3.4% above this industry median. Based on the distribution chart, Infoline Tec Group Bhd ranks #1594 out of 2680 companies in the Software industry, which is below the industry midpoint. Overall, Infoline Tec Group Bhd has a GF Score™ of 68/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Infoline Tec Group Bhd's Gross Margin % compare to MSFT and ORCL?
According to the Software industry distribution chart, Infoline Tec Group Bhd ranks #1594 out of 2680 companies for Gross Margin %. This places Infoline Tec Group Bhd in the lower half of its industry. The industry median Gross Margin % is 40.45. Infoline Tec Group Bhd's value of 41.81% is 3.4% above this benchmark. Historically, Infoline Tec Group Bhd's own Gross Margin % has ranged from 28.64 to 52.47 over the past decade. While the company's 10-year median is 36.62 vs. the industry median of 40.45, Infoline Tec Group 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 Software company?
The median Gross Margin % among Software companies is 40.45, based on 2,680 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. Infoline Tec Group Bhd's current Gross Margin % of 41.81% is 3.4% 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 Infoline Tec Group Bhd and its competitors. For the Software industry, the median Gross Margin % is 40.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Infoline Tec Group Bhd's current Gross Margin % is 41.81%, which is 14% above median its own 10-year median of 36.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Infoline Tec Group Bhd stock overvalued right now?
Based on GuruFocus' analysis, Infoline Tec Group Bhd (XKLS:0253) is currently considered Significantly Undervalued. The stock's GF Value™ is RM0.84, compared to a current price of RM0.35 — trading 58.3% below its estimated fair value. The current Gross Margin % is 41.81%, which is 14% above median its 10-year median of 36.62 and 3.4% above the Software industry median of 40.45. Infoline Tec Group Bhd's overall GF Score™ is 68/100 with 3 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 Infoline Tec Group Bhd (XKLS:0253), the current Gross Margin % is 41.81% 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.
Is Infoline Tec Group Bhd (XKLS:0253) Overvalued in 2026?
Based on GuruFocus' analysis, Infoline Tec Group Bhd stock appears to be undervalued.
The current stock price of RM0.35 is trading 58.3% below its estimated GF Value™ of RM0.84.
GuruFocus considers Infoline Tec Group Bhd to be Significantly Undervalued.
Key valuation signals for XKLS:0253:
Gross Margin %: 41.81% (14% above median its 10-year median of 36.62)
GF Value™: RM0.84 vs. price of RM0.35 (58.3% below fair value)
Industry Position: 3.4% above the Software median (#1594 of 2680)
No single metric tells the full story. See the XKLS:0253 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Infoline Tec Group Bhd is engaged in the business of investment holding. The group is organized into four reportable segments as follows: IT infrastructure solutions; Cybersecurity solutions; Managed IT services and other IT services; Trading of ancillary hardware and software. It generates the majority of its revenue from the IT infrastructure solutions segment. The geographical regions include Malaysia, China, Australia, Singapore, and Others.
68GF Score
Get the complete analysis for XKLS:0253
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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