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Ahluwalia Contracts (India) (BOM:532811) Gross Margin % : 17.17% (As of Mar. 2024)


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What is Ahluwalia Contracts (India) Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Ahluwalia Contracts (India)'s Gross Profit for the three months ended in Mar. 2024 was ₹1,998 Mil. Ahluwalia Contracts (India)'s Revenue for the three months ended in Mar. 2024 was ₹11,637 Mil. Therefore, Ahluwalia Contracts (India)'s Gross Margin % for the quarter that ended in Mar. 2024 was 17.17%.

Warning Sign:

Ahluwalia Contracts (India) Ltd gross margin has been in long-term decline. The average rate of decline per year is -2.4%.


The historical rank and industry rank for Ahluwalia Contracts (India)'s Gross Margin % or its related term are showing as below:

BOM:532811' s Gross Margin % Range Over the Past 10 Years
Min: 17.52   Med: 20.82   Max: 51.43
Current: 18.98


During the past 13 years, the highest Gross Margin % of Ahluwalia Contracts (India) was 51.43%. The lowest was 17.52%. And the median was 20.82%.

BOM:532811's Gross Margin % is ranked worse than
50.56% of 1614 companies
in the Construction industry
Industry Median: 19.255 vs BOM:532811: 18.98

Ahluwalia Contracts (India) had a gross margin of 17.17% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Ahluwalia Contracts (India) was -2.40% per year.


Ahluwalia Contracts (India) Gross Margin % Historical Data

The historical data trend for Ahluwalia Contracts (India)'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.

Ahluwalia Contracts (India) Gross Margin % Chart

Ahluwalia Contracts (India) 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 19.79 19.22 17.52 19.44 18.98

Ahluwalia Contracts (India) 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 20.86 21.07 19.11 19.36 17.17

Competitive Comparison of Ahluwalia Contracts (India)'s Gross Margin %

For the Engineering & Construction subindustry, Ahluwalia Contracts (India)'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.


Ahluwalia Contracts (India)'s Gross Margin % Distribution in the Construction Industry

For the Construction industry and Industrials sector, Ahluwalia Contracts (India)'s Gross Margin % distribution charts can be found below:

* The bar in red indicates where Ahluwalia Contracts (India)'s Gross Margin % falls into.



Ahluwalia Contracts (India) Gross Margin % Calculation

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

Ahluwalia Contracts (India)'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 )
=7317.1 / 38552.977
=(Revenue - Cost of Goods Sold) / Revenue
=(38552.977 - 31235.911) / 38552.977
=18.98 %

Ahluwalia Contracts (India)'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 )
=1998.5 / 11636.601
=(Revenue - Cost of Goods Sold) / Revenue
=(11636.601 - 9638.141) / 11636.601
=17.17 %

* 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.


Ahluwalia Contracts (India)  (BOM:532811) 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

Ahluwalia Contracts (India) had a gross margin of 17.17% for the quarter that ended in Mar. 2024 => 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.


Ahluwalia Contracts (India) Gross Margin % Related Terms

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Ahluwalia Contracts (India) (BOM:532811) Business Description

Traded in Other Exchanges
Address
Okhla Industrial Area, Phase-I, Plot No. A-177, New Delhi, IND, 110020
Ahluwalia Contracts (India) Ltd is an integrated construction company. Its project comprises of residential and commercial complexes, hotels, institutional buildings, hospitals, and others. The company's operating segments include Construction Contract; Lease Rental and Other. It generates maximum revenue from the Construction Contract segment. Geographically, it derives a majority of its revenue from India.

Ahluwalia Contracts (India) (BOM:532811) Headlines

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