GURUFOCUS.COM » STOCK LIST » Basic Materials » Building Materials » Sephaku Holdings Ltd (JSE:SEP) » Definitions » Gross Margin %

Sephaku Holdings (JSE:SEP) Gross Margin % : 37.18% (As of Sep. 2023)


View and export this data going back to 2009. Start your Free Trial

What is Sephaku Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Sephaku Holdings's Gross Profit for the six months ended in Sep. 2023 was R233 Mil. Sephaku Holdings's Revenue for the six months ended in Sep. 2023 was R627 Mil. Therefore, Sephaku Holdings's Gross Margin % for the quarter that ended in Sep. 2023 was 37.18%.

Warning Sign:

Sephaku Holdings Ltd gross margin has been in long-term decline. The average rate of decline per year is -1.4%.


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

JSE:SEP' s Gross Margin % Range Over the Past 10 Years
Min: 37.21   Med: 39.79   Max: 44.16
Current: 37.25


During the past 13 years, the highest Gross Margin % of Sephaku Holdings was 44.16%. The lowest was 37.21%. And the median was 39.79%.

JSE:SEP's Gross Margin % is ranked better than
78.88% of 374 companies
in the Building Materials industry
Industry Median: 25.155 vs JSE:SEP: 37.25

Sephaku Holdings had a gross margin of 37.18% for the quarter that ended in Sep. 2023 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Sephaku Holdings was -1.40% per year.


Sephaku Holdings Gross Margin % Historical Data

The historical data trend for Sephaku Holdings'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.

Sephaku Holdings Gross Margin % Chart

Sephaku Holdings 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 38.35 38.27 38.42 38.40 37.21

Sephaku Holdings Semi-Annual Data
Mar14 Sep14 Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
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 38.18 38.64 37.07 37.36 37.18

Competitive Comparison of Sephaku Holdings's Gross Margin %

For the Building Materials subindustry, Sephaku Holdings'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.


Sephaku Holdings's Gross Margin % Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Sephaku Holdings's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Sephaku Holdings's Gross Margin % falls into.



Sephaku Holdings Gross Margin % Calculation

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

Sephaku Holdings'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 )
=364.9 / 980.711
=(Revenue - Cost of Goods Sold) / Revenue
=(980.711 - 615.82) / 980.711
=37.21 %

Sephaku Holdings's Gross Margin for the quarter that ended in Sep. 2023 is calculated as


Gross Margin % (Q: Sep. 2023 )=Gross Profit (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=233 / 626.632
=(Revenue - Cost of Goods Sold) / Revenue
=(626.632 - 393.659) / 626.632
=37.18 %

* 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.


Sephaku Holdings  (JSE:SEP) 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

Sephaku Holdings had a gross margin of 37.18% for the quarter that ended in Sep. 2023 => Competition eroding margins


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.


Sephaku Holdings Gross Margin % Related Terms

Thank you for viewing the detailed overview of Sephaku Holdings's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Sephaku Holdings (JSE:SEP) Business Description

Traded in Other Exchanges
N/A
Address
Cnr Karee and John Vorster Streets, First Floor, Block A, PO Box 7651, Southdowns Office Park, Irene, GT, ZAF, X54 0062
Sephaku Holdings Ltd is a construction materials company. It offers investors a portfolio of assets focused on the building and construction materials industry. The group generates all of its revenue from the Ready-mixed concrete segment.

Sephaku Holdings (JSE:SEP) Headlines