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Growth-Stage Metrics · Intermediate · Pro filter

EV / gross profit: what it means and how to read it

Enterprise value ÷ gross profit.

What is EV / gross profit?

Enterprise value ÷ gross profit.

A worked example

Sales of ₹1,000 Cr with a 40% gross margin is ₹400 Cr of gross profit. At an enterprise value of ₹8,000 Cr that is 20 times.

Why does EV / gross profit matter?

Fairer than EV / sales when companies have very different margins.

How do you read EV / gross profit?

Lower is cheaper.

Lower is usually better.

What is a typical EV / gross profit in India today?

The median across the 2930 listed companies that report it, as of 12 Oct 2026. Half sit above each figure and half below.

By company size

Median
Large Cap · 57 companies10.44
Mid Cap · 98 companies9.71
Small Cap · 2775 companies4.52

By industry

Median, largest industries first
Pharmaceuticals · 1656.43
Refineries & Marketing · 81.68
Heavy Electrical Equipment · 3913.02
Auto Components & Equipments · 1024.29
Power Generation · 199.44
Cement & Cement Products · 322.18
Aerospace & Defense · 2822.91
2/3 Wheelers · 99.98
Iron & Steel · 123.34
Civil Construction · 892.51
Compare a company with its own industry before the whole market. Every industry, and each company's rank within it, is in the screener.

Screen 6622 companies on EV / gross profit and every other filter.