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KPI Green Energy (BOM:542323) Gross Margin % : 50.41% (As of Mar. 2024)


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What is KPI Green Energy Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. KPI Green Energy's Gross Profit for the three months ended in Mar. 2024 was ₹1,459 Mil. KPI Green Energy's Revenue for the three months ended in Mar. 2024 was ₹2,894 Mil. Therefore, KPI Green Energy's Gross Margin % for the quarter that ended in Mar. 2024 was 50.41%.

Warning Sign:

KPI Green Energy Ltd gross margin has been in long-term decline. The average rate of decline per year is -8.2%.


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

BOM:542323' s Gross Margin % Range Over the Past 10 Years
Min: 40.67   Med: 63.42   Max: 85.34
Current: 47.65


During the past 9 years, the highest Gross Margin % of KPI Green Energy was 85.34%. The lowest was 40.67%. And the median was 63.42%.

BOM:542323's Gross Margin % is ranked better than
62.76% of 392 companies
in the Utilities - Independent Power Producers industry
Industry Median: 35.01 vs BOM:542323: 47.65

KPI Green Energy had a gross margin of 50.41% for the quarter that ended in Mar. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for KPI Green Energy was -8.20% per year.


KPI Green Energy Gross Margin % Historical Data

The historical data trend for KPI Green Energy'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.

KPI Green Energy Gross Margin % Chart

KPI Green Energy Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Gross Margin %
Get a 7-Day Free Trial Premium Member Only 62.81 68.80 53.14 40.67 47.65

KPI Green Energy Quarterly Data
Sep18 Mar19 Sep19 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 40.00 50.12 44.61 45.78 50.41

Competitive Comparison of KPI Green Energy's Gross Margin %

For the Utilities - Renewable subindustry, KPI Green Energy'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.


KPI Green Energy's Gross Margin % Distribution in the Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, KPI Green Energy's Gross Margin % distribution charts can be found below:

* The bar in red indicates where KPI Green Energy's Gross Margin % falls into.



KPI Green Energy Gross Margin % Calculation

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

KPI Green Energy'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 )
=4878.5 / 10239.001
=(Revenue - Cost of Goods Sold) / Revenue
=(10239.001 - 5360.517) / 10239.001
=47.65 %

KPI Green Energy'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 )
=1458.6 / 2893.565
=(Revenue - Cost of Goods Sold) / Revenue
=(2893.565 - 1434.968) / 2893.565
=50.41 %

* 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.


KPI Green Energy  (BOM:542323) 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

KPI Green Energy had a gross margin of 50.41% for the quarter that ended in Mar. 2024 => 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.


KPI Green Energy Gross Margin % Related Terms

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


KPI Green Energy (BOM:542323) Business Description

Traded in Other Exchanges
Address
Canal Road, Bhatar Road, KP House, Opposite Ishwar Farm Junction BRTS, Near Bliss IVF Circle, Surat, GJ, IND, 395017
KPI Green Energy Ltd Ltd is a solar power generating company. The company develops, builds, owns, operates, and maintains solar power plants as an Independent Power Producer (IPP) and as a service provider to Captive Power Producers (CPP) under the brand name Solarism. Its operating segment includes the Sale of Power and Solar power plants; and the Sale of Plots. The company generates maximum revenue from the Sale of Power and power plants segment. Geographically, it operates only in India.

KPI Green Energy (BOM:542323) Headlines

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