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Chia Tai Enterprises International (Chia Tai Enterprises International) Gross Margin % : 15.06% (As of Dec. 2023)


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What is Chia Tai Enterprises International Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Chia Tai Enterprises International's Gross Profit for the three months ended in Dec. 2023 was $7.90 Mil. Chia Tai Enterprises International's Revenue for the three months ended in Dec. 2023 was $52.46 Mil. Therefore, Chia Tai Enterprises International's Gross Margin % for the quarter that ended in Dec. 2023 was 15.06%.

Warning Sign:

Chia Tai Enterprises International Ltd gross margin has been in long-term decline. The average rate of decline per year is -6.8%.


The historical rank and industry rank for Chia Tai Enterprises International's Gross Margin % or its related term are showing as below:

CAIHF' s Gross Margin % Range Over the Past 10 Years
Min: 16.85   Med: 28.38   Max: 35.77
Current: 16.85


During the past 10 years, the highest Gross Margin % of Chia Tai Enterprises International was 35.77%. The lowest was 16.85%. And the median was 28.38%.

CAIHF's Gross Margin % is ranked worse than
89.68% of 988 companies
in the Drug Manufacturers industry
Industry Median: 46.48 vs CAIHF: 16.85

Chia Tai Enterprises International had a gross margin of 15.06% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Chia Tai Enterprises International was -6.80% per year.


Chia Tai Enterprises International Gross Margin % Historical Data

The historical data trend for Chia Tai Enterprises International'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.

Chia Tai Enterprises International Gross Margin % Chart

Chia Tai Enterprises International Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 27.56 26.61 24.41 24.61 19.41

Chia Tai Enterprises International Quarterly Data
Sep15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Sep22 Dec22 Jun23 Sep23 Dec23
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 23.38 28.35 - 19.26 15.06

Competitive Comparison of Chia Tai Enterprises International's Gross Margin %

For the Drug Manufacturers - Specialty & Generic subindustry, Chia Tai Enterprises International'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.


Chia Tai Enterprises International's Gross Margin % Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Chia Tai Enterprises International's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Chia Tai Enterprises International's Gross Margin % falls into.



Chia Tai Enterprises International Gross Margin % Calculation

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

Chia Tai Enterprises International'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 )
=33.8 / 173.979
=(Revenue - Cost of Goods Sold) / Revenue
=(173.979 - 140.213) / 173.979
=19.41 %

Chia Tai Enterprises International'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 )
=7.9 / 52.455
=(Revenue - Cost of Goods Sold) / Revenue
=(52.455 - 44.554) / 52.455
=15.06 %

* 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.


Chia Tai Enterprises International  (GREY:CAIHF) 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

Chia Tai Enterprises International had a gross margin of 15.06% 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.


Chia Tai Enterprises International Gross Margin % Related Terms

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Chia Tai Enterprises International (Chia Tai Enterprises International) Business Description

Traded in Other Exchanges
Address
16 Harcourt Road, 21st Floor, Far East Finance Centre, Hong Kong, HKG
Chia Tai Enterprises International Ltd engaged in the manufacture and sale of chlortetracycline (CTC) products. The company's operating segment includes Biochemical operations and Industrial operations. It generates maximum revenue from the Biochemical operations segment, which is engaged in the manufacture and sale of chlortetracycline and other related products. The Industrial segment is into trading of machinery and the manufacture and sale of automotive parts through the group's joint venture and associate. Its geographical segments are Mainland China, Asia Pacific (excluding mainland China), Americas, Europe, and Others.

Chia Tai Enterprises International (Chia Tai Enterprises International) Headlines

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