A series of Gd-substituted M-type barium hexaferrites has been prepared by the ceramic route, according to the formula (Ba 1− x Gd x )O·5.25Fe 2O 3 ( x = 0 – 0.30 ). XRD analysis revealed that all the samples present primarily an M-type structure. Samples x = 0 and x = 0.05 are single-phase. Hematite (Fe 2O 3) and GdFeO 3 were detected in the remaining samples. Coercivity ( H c) shows remarkably high values, ∼293 kA/m for x = 0.20 and 0.30 with a maximum of 322 kA/m for x = 0.25 . Specific saturation magnetization ( σ sat) of the samples presents a small increase up to x = 0.10 . The microstructure examination indicates that Gd may act as a grain growth inhibitor.