Leon Fuat Bhd (XKLS:5232) Gross Margin % : 9.67% (As of Dec. 2023)

View and export this data going back to 2013. Start your Free Trial

What is Leon Fuat Bhd Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Leon Fuat Bhd's Gross Profit for the three months ended in Dec. 2023 was RM23.3 Mil. Leon Fuat Bhd's Revenue for the three months ended in Dec. 2023 was RM240.6 Mil. Therefore, Leon Fuat Bhd's Gross Margin % for the quarter that ended in Dec. 2023 was 9.67%.

Warning Sign:

Leon Fuat Bhd gross margin has been in long-term decline. The average rate of decline per year is -2.8%.

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

XKLS:5232' s Gross Margin % Range Over the Past 10 Years
Min: 8.9 Med: 13.48 Max: 25
Current: 10.73

During the past 12 years, the highest Gross Margin % of Leon Fuat Bhd was 25.00%. The lowest was 8.90%. And the median was 13.48%.

XKLS:5232's Gross Margin % is ranked worse than
57.95% of 585 companies
in the Steel industry
Industry Median: 13.01 vs XKLS:5232: 10.73

Leon Fuat Bhd had a gross margin of 9.67% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Leon Fuat Bhd was -2.80% per year.

Leon Fuat Bhd Gross Margin % Historical Data

The historical data trend for Leon Fuat Bhd'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.

Leon Fuat Bhd Gross Margin % Chart

Leon Fuat Bhd Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Gross Margin %

Get a 7-Day Free Trial

10.09

13.17

25.00

8.90

10.73

Leon Fuat Bhd 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															2.86	12.21	13.64	7.67	9.67

Competitive Comparison of Leon Fuat Bhd's Gross Margin %

For the Steel subindustry, Leon Fuat Bhd'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.

Leon Fuat Bhd's Gross Margin % Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, Leon Fuat Bhd's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Leon Fuat Bhd's Gross Margin % falls into.

Leon Fuat Bhd Gross Margin % Calculation

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

Leon Fuat Bhd's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )	=	Gross Profit (A: Dec. 2023 )	/	Revenue (A: Dec. 2023 )
	=	99.6	/	928.045
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(928.045 - 828.456)	/	928.045
	=	10.73 %

Leon Fuat Bhd'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 )
	=	23.3	/	240.569
	=	(Revenue - Cost of Goods Sold)	/	Revenue
	=	(240.569 - 217.306)	/	240.569
	=	9.67 %

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.

Leon Fuat Bhd (XKLS:5232) 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

Leon Fuat Bhd had a gross margin of 9.67% for the quarter that ended in Dec. 2023 => No sustainable 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.

Leon Fuat Bhd Gross Margin % Related Terms

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

Leon Fuat Bhd (XKLS:5232) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Basic Materials » Steel » Leon Fuat Bhd (XKLS:5232) » Definitions » Gross Margin %

Comparable Companies

Traded in Other Exchanges

N/A

Address

Wisma Leon Fuat, No. 11, Lorong Keluli 1B, Seksyen 7, Kawasan Perindustrian Bukit Raja Selatan, Shah Alam, SGR, MYS, 40000

Website

https://www.leonfuat.com.my

Leon Fuat Bhd is engaged in the provision of management services through its subsidiaries. It operates through three segments: Trading of Steel Products, Processing and/or manufacturing of Steel Products, and Others. It mainly involves the buying and selling of flat and long steel products and also offers value-added services to flat and long steel products in the form of cutting, leveling, shearing, profiling, bending, and finishing as well as the production of expanded metal and Other segment includes steel materials such as tool steel and non-ferrous metal products such as bronze, brass, aluminum, and copper. It operates in two geographical areas; Malaysia and the Republic of Singapore.

Leon Fuat Bhd (XKLS:5232) Headlines

No Headlines