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GHCL (BOM:500171) Profitability Rank : 9 (As of Dec. 2024)


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What is GHCL Profitability Rank?

GHCL has the Profitability Rank of 9. It has a higher profitability and may stay that way.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is rated on a scale of 1 to 10 and is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

GHCL's Operating Margin % for the quarter that ended in Dec. 2024 was 25.95%. As of today, GHCL's Piotroski F-Score is 4.


Competitive Comparison of GHCL's Profitability Rank

For the Chemicals subindustry, GHCL's Profitability Rank, along with its competitors' market caps and Profitability Rank 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.


GHCL's Profitability Rank Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, GHCL's Profitability Rank distribution charts can be found below:

* The bar in red indicates where GHCL's Profitability Rank falls into.


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GHCL Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The rank is rated on a scale of 1 to 10. A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

GHCL has the Profitability Rank of 9. It has a higher profitability and may stay that way.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

GHCL's Operating Margin % for the quarter that ended in Dec. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=2020.8 / 7787.3
=25.95 %

* 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.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

GHCL has an F-score of 4 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

Good Sign:

GHCL Ltd operating margin is expanding. Margin expansion is usually a good sign.

4. Consistency of the profitability

5. Predictability Rank


GHCL Profitability Rank Related Terms

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GHCL Business Description

Traded in Other Exchanges
Address
GHCL House, B-38, Institutional Area, Sector - 1, Noida, IND, 201301
GHCL Ltd operates its business through a single segment which includes Inorganic chemicals. The company through its chemical segment manufactures soda ash which is used in detergents and glass industries and sodium bicarbonate. Its Consumer Product division manufactures and sells Edible salt and Industrial grade salt under the brand name i-FLO & Sapan. The division has its salt manufacturing facility at Vedaranyam in Nagapattinam district of Tamil Nadu and a refinery at Chennai for edible salt manufacturing.

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