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Andhra Paper (BOM:502330) Gross Margin % : 47.08% (As of Dec. 2023)


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What is Andhra Paper Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Andhra Paper's Gross Profit for the three months ended in Dec. 2023 was ₹2,244 Mil. Andhra Paper's Revenue for the three months ended in Dec. 2023 was ₹4,766 Mil. Therefore, Andhra Paper's Gross Margin % for the quarter that ended in Dec. 2023 was 47.08%.


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

BOM:502330' s Gross Margin % Range Over the Past 10 Years
Min: 41.75   Med: 50.12   Max: 59.63
Current: 53.36


During the past 13 years, the highest Gross Margin % of Andhra Paper was 59.63%. The lowest was 41.75%. And the median was 50.12%.

BOM:502330's Gross Margin % is ranked better than
91.9% of 284 companies
in the Forest Products industry
Industry Median: 19.75 vs BOM:502330: 53.36

Andhra Paper had a gross margin of 47.08% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Andhra Paper was 2.10% per year.


Andhra Paper Gross Margin % Historical Data

The historical data trend for Andhra Paper'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.

Andhra Paper Gross Margin % Chart

Andhra Paper Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 52.28 54.49 44.67 47.96 58.13

Andhra Paper Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 61.78 59.01 56.75 49.44 47.08

Competitive Comparison of Andhra Paper's Gross Margin %

For the Paper & Paper Products subindustry, Andhra Paper'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.


Andhra Paper's Gross Margin % Distribution in the Forest Products Industry

For the Forest Products industry and Basic Materials sector, Andhra Paper's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Andhra Paper's Gross Margin % falls into.



Andhra Paper Gross Margin % Calculation

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

Andhra Paper's Gross Margin for the fiscal year that ended in Mar. 2023 is calculated as

Gross Margin % (A: Mar. 2023 )=Gross Profit (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=12109.8 / 20830.562
=(Revenue - Cost of Goods Sold) / Revenue
=(20830.562 - 8720.765) / 20830.562
=58.13 %

Andhra Paper's Gross Margin for the quarter that ended in Dec. 2023 is calculated as


Gross Margin % (Q: Dec. 2023 )=Gross Profit (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=2243.7 / 4765.769
=(Revenue - Cost of Goods Sold) / Revenue
=(4765.769 - 2522.088) / 4765.769
=47.08 %

* 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.


Andhra Paper  (BOM:502330) 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

Andhra Paper had a gross margin of 47.08% for the quarter that ended in Dec. 2023 => 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.


Andhra Paper Gross Margin % Related Terms

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Andhra Paper (BOM:502330) Business Description

Traded in Other Exchanges
Address
No. 31, Chowringee Road, 1st Floor, Kolkata, WB, IND, 700016
Andhra Paper Ltd is an integrated paper and pulp manufacturer in India. The company is engaged in the business of manufacturing pulp, paper, and paperboard. The company produces writing, printing, copier, and industrial papers for Indian and international markets. In addition, the company also provides a range of office documentation and multipurpose papers, from economy to premium grades for both home and commercial use. The company operates in India and makes certain sales to customers situated outside of India.

Andhra Paper (BOM:502330) Headlines

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