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Hindustan Aeronautics (BOM:541154) Gross Margin % : 55.42% (As of Dec. 2023)


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What is Hindustan Aeronautics Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Hindustan Aeronautics's Gross Profit for the three months ended in Dec. 2023 was ₹33,591 Mil. Hindustan Aeronautics's Revenue for the three months ended in Dec. 2023 was ₹60,613 Mil. Therefore, Hindustan Aeronautics's Gross Margin % for the quarter that ended in Dec. 2023 was 55.42%.


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

BOM:541154' s Gross Margin % Range Over the Past 10 Years
Min: 43.33   Med: 54.04   Max: 64.89
Current: 63.42


During the past 11 years, the highest Gross Margin % of Hindustan Aeronautics was 64.89%. The lowest was 43.33%. And the median was 54.04%.

BOM:541154's Gross Margin % is ranked better than
91.89% of 296 companies
in the Aerospace & Defense industry
Industry Median: 26.025 vs BOM:541154: 63.42

Hindustan Aeronautics had a gross margin of 55.42% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Hindustan Aeronautics was 2.40% per year.


Hindustan Aeronautics Gross Margin % Historical Data

The historical data trend for Hindustan Aeronautics'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.

Hindustan Aeronautics Gross Margin % Chart

Hindustan Aeronautics 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 59.69 58.40 53.26 61.45 64.89

Hindustan Aeronautics 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 59.53 63.75 76.45 62.24 55.42

Competitive Comparison of Hindustan Aeronautics's Gross Margin %

For the Aerospace & Defense subindustry, Hindustan Aeronautics'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.


Hindustan Aeronautics's Gross Margin % Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Hindustan Aeronautics's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Hindustan Aeronautics's Gross Margin % falls into.



Hindustan Aeronautics Gross Margin % Calculation

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

Hindustan Aeronautics'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 )
=174723.4 / 269274.6
=(Revenue - Cost of Goods Sold) / Revenue
=(269274.6 - 94551.2) / 269274.6
=64.89 %

Hindustan Aeronautics'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 )
=33591.3 / 60612.8
=(Revenue - Cost of Goods Sold) / Revenue
=(60612.8 - 27021.5) / 60612.8
=55.42 %

* 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.


Hindustan Aeronautics  (BOM:541154) 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

Hindustan Aeronautics had a gross margin of 55.42% 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.


Hindustan Aeronautics Gross Margin % Related Terms

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Hindustan Aeronautics (BOM:541154) Business Description

Traded in Other Exchanges
Address
No. 15/1 Cubbon Road, Bengaluru, KA, IND, 560 001
Hindustan Aeronautics Ltd operates in the aerospace and defense sector. The company is engaged in the design, manufacturing, and development of products like aircraft, helicopters, systems and accessories, power plants, avionics, materials like castings, rolled rings, rubber products, and aerospace which include structures, tanks, and cryogenic engines. Geographically the company derives revenue from India and other countries, of which a majority of revenue is generated from India.

Hindustan Aeronautics (BOM:541154) Headlines

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