Ahmad Zaki Resources BhdXKLS:7078 -4.76% Gross Margin % is 18.68% as of Mar. 2026, which is 25% above its 10-year median of 14.89. The stock has 5 warning signs investors should review. Among 1,718 Construction companies, Ahmad Zaki Resources Bhd ranks worse than 73.05% on this metric.
Ahmad Zaki Resources Bhd (XKLS:7078) 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
Ahmad Zaki Resources Bhd had a gross margin of 18.68% for the quarter that ended in Mar. 2026 => 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.
Ahmad Zaki Resources Bhd Gross Margin % Related Terms
Ahmad Zaki Resources Bhd Gross Margin % Historical Data
* 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:7078 vs PWR, FIX, EME: Gross Margin % Comparison
For the Engineering & Construction subindustry, Ahmad Zaki Resources 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.
Ahmad Zaki Resources Bhd Gross Margin % vs Construction Industry
For the Construction industry and Industrials sector, Ahmad Zaki Resources Bhd's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Ahmad Zaki Resources 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.
Ahmad Zaki Resources Bhd (XKLS:7078) has a Gross Margin % of 18.68% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Ahmad Zaki Resources Bhd and its competitors. This is 25% above median its historical median of 14.89. Over the past decade, Ahmad Zaki Resources Bhd's Gross Margin % has ranged from 5.02 to 26.85. According to the industry distribution chart, Ahmad Zaki Resources Bhd ranks #1255 out of 1718 companies in the Construction industry, placing it in the top 73.1%.
Is Ahmad Zaki Resources Bhd's Gross Margin % too high?
Ahmad Zaki Resources Bhd's current Gross Margin % of 18.68% is 25% above median its 10-year median of 14.89. Over the past 10 years, this metric has ranged from a low of 5.02 to a high of 26.85. The Construction industry median Gross Margin % is 20.75. Ahmad Zaki Resources Bhd's value of 18.68% is 10% below this industry median. Based on the distribution chart, Ahmad Zaki Resources Bhd ranks #1255 out of 1718 companies in the Construction industry, which is below the industry midpoint.
How does Ahmad Zaki Resources Bhd's Gross Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, Ahmad Zaki Resources Bhd ranks #1255 out of 1718 companies for Gross Margin %. This places Ahmad Zaki Resources Bhd in the lower half of its industry. The industry median Gross Margin % is 20.75. Ahmad Zaki Resources Bhd's value of 18.68% is 10% below this benchmark. Historically, Ahmad Zaki Resources Bhd's own Gross Margin % has ranged from 5.02 to 26.85 over the past decade. While the company's 10-year median is 14.89 vs. the industry median of 20.75, Ahmad Zaki Resources Bhd 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 Construction company?
The median Gross Margin % among Construction companies is 20.75, based on 1,718 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. Ahmad Zaki Resources Bhd's current Gross Margin % of 18.68% is 10% 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 Ahmad Zaki Resources Bhd and its competitors. For the Construction industry, the median Gross Margin % is 20.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ahmad Zaki Resources Bhd's current Gross Margin % is 18.68%, which is 25% above median its own 10-year median of 14.89. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ahmad Zaki Resources Bhd stock overvalued right now?
Based on GuruFocus' analysis, Ahmad Zaki Resources Bhd (XKLS:7078) is currently considered Possible Value Trap. The stock's GF Value™ is RM0.36, compared to a current price of RM0.10 — trading 72.2% below its estimated fair value. The current Gross Margin % is 18.68%, which is 25% above median its 10-year median of 14.89 and 10% below the Construction industry median of 20.75. 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 Ahmad Zaki Resources Bhd (XKLS:7078), the current Gross Margin % is 18.68% 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.
Ahmad Zaki Resources Bhd is principally engaged in investment holding, providing management services and as contractor of civil and structural works. Its segments include Engineering and Construction provides civil and structural works; Concession engages in concession and assets managements; Oil and Gas engages in dealing in marine fuels, lubricants, petroleum based products and logistics management and vessel related services; Plantation engages in production of crude palm oil and kernel; and Property engages in property development, hotel operation and facilities management. It derives majority of revenue from Engineering and Construction segment. Geographically, it operates in Malaysia, Republic of Indonesia, India, and Kingdom of Saudi Arabia.
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