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Kansai Nerolac Paints (BOM:500165) Profitability Rank : 8 (As of Dec. 2023)


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What is Kansai Nerolac Paints Profitability Rank?

Kansai Nerolac Paints has the Profitability Rank of 8. 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 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

Kansai Nerolac Paints's Operating Margin % for the quarter that ended in Dec. 2023 was 10.19%. As of today, Kansai Nerolac Paints's Piotroski F-Score is 7.


Competitive Comparison of Kansai Nerolac Paints's Profitability Rank

For the Specialty Chemicals subindustry, Kansai Nerolac Paints'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.


Kansai Nerolac Paints's Profitability Rank Distribution in the Chemicals Industry

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

* The bar in red indicates where Kansai Nerolac Paints's Profitability Rank falls into.



Kansai Nerolac Paints Profitability Rank Calculation

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

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Kansai Nerolac Paints has the Profitability Rank of 8. 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.

Kansai Nerolac Paints's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=1955.7 / 19187.1
=10.19 %

* 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

Good Sign:

Piotroski F-Score is 7, indicates a very healthy situation.

The zones of discrimination were as such:

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

Kansai Nerolac Paints has an F-score of 7. It is a good or high score, which usually indicates a very healthy situation.

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

Warning Sign:

Kansai Nerolac Paints Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -11.4%.

4. Consistency of the profitability

5. Predictability Rank


Kansai Nerolac Paints Profitability Rank Related Terms

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Kansai Nerolac Paints (BOM:500165) Business Description

Traded in Other Exchanges
Address
N. M. Joshi Marg, 28th Floor, A-Wing, Marathon Futurex, Mafatlal Mills Compound, Lower Parel, Mumbai, MH, IND, 400013
Kansai Nerolac Paints Ltd (or KNPL) is a paint company headquartered in India. KNPL operates through its paint business to provide a wide range of products and solutions in industrial and decorative coatings. KNPL's decorative coating solutions are used by customers in segments such as adhesives, wood, and construction chemicals. KNPL's industrial coatings include automotive, general industrial, powder, and high performance. The company's industrial coating products and services are applied to vehicles, electrical and agricultural equipment, refrigerators, and railways, among others. KNPL has operations in India, Nepal, Sri Lanka, and Bangladesh, with most of its sales from its activities in India.

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