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Himadri Speciality Chemical (BOM:500184) Gross Margin % : 27.75% (As of Mar. 2024)


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What is Himadri Speciality Chemical Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Himadri Speciality Chemical's Gross Profit for the three months ended in Mar. 2024 was ₹3,266 Mil. Himadri Speciality Chemical's Revenue for the three months ended in Mar. 2024 was ₹11,770 Mil. Therefore, Himadri Speciality Chemical's Gross Margin % for the quarter that ended in Mar. 2024 was 27.75%.

Warning Sign:

Himadri Speciality Chemical Ltd gross margin has been in long-term decline. The average rate of decline per year is -6.7%.


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

BOM:500184' s Gross Margin % Range Over the Past 10 Years
Min: 19.2   Med: 28.12   Max: 33.89
Current: 27.59


During the past 13 years, the highest Gross Margin % of Himadri Speciality Chemical was 33.89%. The lowest was 19.20%. And the median was 28.12%.

BOM:500184's Gross Margin % is ranked better than
63.26% of 1508 companies
in the Chemicals industry
Industry Median: 22.28 vs BOM:500184: 27.59

Himadri Speciality Chemical had a gross margin of 27.75% for the quarter that ended in Mar. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Himadri Speciality Chemical was -6.70% per year.


Himadri Speciality Chemical Gross Margin % Historical Data

The historical data trend for Himadri Speciality Chemical'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.

Himadri Speciality Chemical Gross Margin % Chart

Himadri Speciality Chemical Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 31.58 26.21 19.20 21.99 27.59

Himadri Speciality Chemical Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 24.09 26.30 27.87 28.32 27.75

Competitive Comparison of Himadri Speciality Chemical's Gross Margin %

For the Specialty Chemicals subindustry, Himadri Speciality Chemical'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.


Himadri Speciality Chemical's Gross Margin % Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Himadri Speciality Chemical's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Himadri Speciality Chemical's Gross Margin % falls into.



Himadri Speciality Chemical Gross Margin % Calculation

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

Himadri Speciality Chemical'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 )
=11546.2 / 41848.9
=(Revenue - Cost of Goods Sold) / Revenue
=(41848.9 - 30302.7) / 41848.9
=27.59 %

Himadri Speciality Chemical'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 )
=3265.8 / 11769.5
=(Revenue - Cost of Goods Sold) / Revenue
=(11769.5 - 8503.7) / 11769.5
=27.75 %

* 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.


Himadri Speciality Chemical  (BOM:500184) 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

Himadri Speciality Chemical had a gross margin of 27.75% for the quarter that ended in Mar. 2024 => Competition eroding margins


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.


Himadri Speciality Chemical Gross Margin % Related Terms

Thank you for viewing the detailed overview of Himadri Speciality Chemical's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Himadri Speciality Chemical (BOM:500184) Business Description

Traded in Other Exchanges
Address
India Exchange Place, 2nd Floor, Ruby House 8, Kolkata, WB, IND, 700 001
Himadri Speciality Chemical Ltd is an Indian Coal Tar Pitch manufacturer with supplies to aluminium and graphite manufacturers. The company operates its business through two segments, which include Carbon Materials and chemicals; and Power. Through its operating segments, the company serves coal tar pitch to various industries to help manufacture aluminum, graphite electrodes, warhead missiles, lithium-ion batteries, and sulphonated naphthalene formaldehyde. Himadri also generates power through the windmills, which is marketed to the state electricity grid. Most of its revenue gets derived from the Carbon materials and chemicals segment. The group has a business presence in India and Outside India.

Himadri Speciality Chemical (BOM:500184) Headlines

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