Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) Pretax Margin %: 2.73% (As of Mar. 2026) — 48% Below Median


KUW:SHIP Heavy Engineering Industries and Shipbuilding Co KSC KUW:SHIP
80 GF Score
Price KWD0.70
GF Value KWD1.04
Valuation Possible Value Trap
! 6 Warning Signs
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What is Heavy Engineering Industries and Shipbuilding Co KSC Pretax Margin %?

Heavy Engineering Industries and Shipbuilding Co KSC KUW:SHIP -0.14% 80 Pretax Margin % is 2.73% as of Mar. 2026, which is 48% below its 10-year median of 5.22. GuruFocus rates KUW:SHIP with a GF Score™ of 80/100 and a GF Value™ of KWD1.04 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 1,760 Construction companies, Heavy Engineering Industries and Shipbuilding Co KSC ranks worse than 52.67% on this metric.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Heavy Engineering Industries and Shipbuilding Co KSC's Pre-Tax Income for the three months ended in Mar. 2026 was KWD1.2 Mil. Heavy Engineering Industries and Shipbuilding Co KSC's Revenue for the three months ended in Mar. 2026 was KWD43.4 Mil. Therefore, Heavy Engineering Industries and Shipbuilding Co KSC's pretax margin for the quarter that ended in Mar. 2026 was 2.73%.

The historical rank and industry rank for Heavy Engineering Industries and Shipbuilding Co KSC's Pretax Margin % or its related term are showing as below:

KUW:SHIP' s Pretax Margin % Range Over the Past 10 Years
Min: 3.8   Med: 5.22   Max: 6.74
Current: 4.94


KUW:SHIP's Pretax Margin % is ranked worse than
52.67% of 1760 companies
in the Construction industry
Industry Median: 5.475 vs KUW:SHIP: 4.94

Heavy Engineering Industries and Shipbuilding Co KSC  (KUW:SHIP) Pretax Margin % Explanation

The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.

The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.

It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.

The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.


Heavy Engineering Industries and Shipbuilding Co KSC Pretax Margin % Related Terms


Heavy Engineering Industries and Shipbuilding Co KSC Pretax Margin % Historical Data

* Premium members only.

The historical data trend for Heavy Engineering Industries and Shipbuilding Co KSC's Pretax 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.

Heavy Engineering Industries and Shipbuilding Co KSC Pretax Margin % Chart

Heavy Engineering Industries and Shipbuilding Co KSC Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Pretax Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.27 4.89 5.17 5.87 5.11

Heavy Engineering Industries and Shipbuilding Co KSC Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Pretax 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 3.63 5.28 3.32 7.88 2.73

KUW:SHIP vs PWR, FIX, EME: Pretax Margin % Comparison

For the Engineering & Construction subindustry, Heavy Engineering Industries and Shipbuilding Co KSC's Pretax Margin %, along with its competitors' market caps and Pretax 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.


Heavy Engineering Industries and Shipbuilding Co KSC Pretax Margin % vs Construction Industry

For the Construction industry and Industrials sector, Heavy Engineering Industries and Shipbuilding Co KSC's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where Heavy Engineering Industries and Shipbuilding Co KSC's Pretax Margin % falls into.


KUW:SHIP
80GF Score
Heavy Engineering Industries and Shipbuilding Co KSC KUW:SHIP
Pretax Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Heavy Engineering Industries and Shipbuilding Co KSC Pretax Margin % Calculation

Pretax margin - also known as pretax profit margin is the ratio of Pretax Income divided by net sales or Revenue, usually presented in percent.

Heavy Engineering Industries and Shipbuilding Co KSC's Pretax Margin for the fiscal year that ended in Dec. 2025 is calculated as

Pretax Margin=Pre-Tax Income (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=10.508/205.788
=5.11 %

Heavy Engineering Industries and Shipbuilding Co KSC's Pretax Margin for the quarter that ended in Mar. 2026 is calculated as

Pretax Margin=Pre-Tax Income (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=1.185/43.369
=2.73 %

* 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.

Frequently Asked Questions Learn more about Pretax Margin % →
What does a Pretax Margin % of 2.73% mean?
Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) has a Pretax Margin % of 2.73% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Heavy Engineering Industries and Shipbuilding Co KSC and its competitors. This is 48% below median its historical median of 5.22. Over the past decade, Heavy Engineering Industries and Shipbuilding Co KSC's Pretax Margin % has ranged from 3.80 to 6.74. According to the industry distribution chart, Heavy Engineering Industries and Shipbuilding Co KSC ranks #927 out of 1760 companies in the Construction industry, placing it in the top 52.7%.
Is Heavy Engineering Industries and Shipbuilding Co KSC's Pretax Margin % too high?
Heavy Engineering Industries and Shipbuilding Co KSC's current Pretax Margin % of 2.73% is 48% below median its 10-year median of 5.22. Over the past 10 years, this metric has ranged from a low of 3.80 to a high of 6.74. The Construction industry median Pretax Margin % is 5.48. Heavy Engineering Industries and Shipbuilding Co KSC's value of 2.73% is 50.1% below this industry median. Based on the distribution chart, Heavy Engineering Industries and Shipbuilding Co KSC ranks #927 out of 1760 companies in the Construction industry, which is below the industry midpoint. Overall, Heavy Engineering Industries and Shipbuilding Co KSC has a GF Score™ of 80/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Heavy Engineering Industries and Shipbuilding Co KSC's Pretax Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, Heavy Engineering Industries and Shipbuilding Co KSC ranks #927 out of 1760 companies for Pretax Margin %. This places Heavy Engineering Industries and Shipbuilding Co KSC in the lower half of its industry. The industry median Pretax Margin % is 5.48. Heavy Engineering Industries and Shipbuilding Co KSC's value of 2.73% is 50.1% below this benchmark. Historically, Heavy Engineering Industries and Shipbuilding Co KSC's own Pretax Margin % has ranged from 3.80 to 6.74 over the past decade. While the company's 10-year median is 5.22 vs. the industry median of 5.48, Heavy Engineering Industries and Shipbuilding Co KSC 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 Pretax Margin % for a Construction company?
The median Pretax Margin % among Construction companies is 5.48, based on 1,760 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Heavy Engineering Industries and Shipbuilding Co KSC's current Pretax Margin % of 2.73% is 50.1% 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 Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Heavy Engineering Industries and Shipbuilding Co KSC and its competitors. For the Construction industry, the median Pretax Margin % is 5.48 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Heavy Engineering Industries and Shipbuilding Co KSC's current Pretax Margin % is 2.73%, which is 48% below median its own 10-year median of 5.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Heavy Engineering Industries and Shipbuilding Co KSC stock overvalued right now?
Based on GuruFocus' analysis, Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) is currently considered Possible Value Trap. The stock's GF Value™ is KWD1.04, compared to a current price of KWD0.70 — trading 32.7% below its estimated fair value. The current Pretax Margin % is 2.73%, which is 48% below median its 10-year median of 5.22 and 50.1% below the Construction industry median of 5.48. Heavy Engineering Industries and Shipbuilding Co KSC's overall GF Score™ is 80/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP), the current Pretax Margin % is 2.73% 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 Heavy Engineering Industries and Shipbuilding Co KSC (KUW:SHIP) Overvalued in 2026?

Based on GuruFocus' analysis, Heavy Engineering Industries and Shipbuilding Co KSC stock appears to be undervalued. The current stock price of KWD0.70 is trading 32.7% below its estimated GF Value™ of KWD1.04. GuruFocus considers Heavy Engineering Industries and Shipbuilding Co KSC to be Possible Value Trap.

Key valuation signals for KUW:SHIP:

  • Pretax Margin %: 2.73% (48% below median its 10-year median of 5.22)
  • GF Value™: KWD1.04 vs. price of KWD0.70 (32.7% below fair value)
  • GF Score™: 80/100 with 6 warning signs
  • Industry Position: 50.1% below the Construction median (#927 of 1760)

No single metric tells the full story. See the KUW:SHIP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Heavy Engineering Industries and Shipbuilding Co KSC Business Description

Address Shuwaik Port, Gate No.7, P.O. Box 21998, Safat, Kuwait, KWT, 13080
Heavy Engineering Industries and Shipbuilding Co KSC is engaged in engineering, procurement, and construction (EPC) contracting, focusing on the shipping and maritime industry in Kuwait. The Company serves sectors including oil and gas, refineries, petrochemicals, power, water distillation and desalination, shipbuilding, ship repair, dredging, and maritime construction. Its activities include industrial and marine works, installation and maintenance services, trading of equipment and spare parts, and contracting and tendering with international companies. It also provides services such as shipyard operations, fabrication, testing and calibration, quality control, scaffolding, galvanizing, onshore and offshore operations, technical manpower supply, and design and engineering services.
80GF Score

Get the complete analysis for KUW:SHIP

Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

KWD0.70
Price
KWD1.04
GF Value