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Future World Holdings (Future World Holdings) Gross Margin % : 103.34% (As of Dec. 2023)


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What is Future World Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Future World Holdings's Gross Profit for the six months ended in Dec. 2023 was $1.33 Mil. Future World Holdings's Revenue for the six months ended in Dec. 2023 was $1.29 Mil. Therefore, Future World Holdings's Gross Margin % for the quarter that ended in Dec. 2023 was 103.34%.

Warning Sign:

Future World Holdings Ltd gross margin has been in long-term decline. The average rate of decline per year is -3.8%.


The historical rank and industry rank for Future World Holdings's Gross Margin % or its related term are showing as below:

CNWFF' s Gross Margin % Range Over the Past 10 Years
Min: 29.1   Med: 50.01   Max: 99.81
Current: 55.55


During the past 13 years, the highest Gross Margin % of Future World Holdings was 99.81%. The lowest was 29.10%. And the median was 50.01%.

CNWFF's Gross Margin % is ranked better than
56.5% of 600 companies
in the Capital Markets industry
Industry Median: 49.075 vs CNWFF: 55.55

Future World Holdings had a gross margin of 103.34% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Future World Holdings was -3.80% per year.


Future World Holdings Gross Margin % Historical Data

The historical data trend for Future World Holdings'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.

Future World Holdings Gross Margin % Chart

Future World Holdings 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 44.46 29.10 40.00 60.50 55.54

Future World Holdings Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 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 36.44 58.68 63.45 38.93 103.34

Competitive Comparison of Future World Holdings's Gross Margin %

For the Capital Markets subindustry, Future World Holdings'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.


Future World Holdings's Gross Margin % Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Future World Holdings's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Future World Holdings's Gross Margin % falls into.



Future World Holdings Gross Margin % Calculation

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

Future World Holdings'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 )
=2.8 / 4.987
=(Revenue - Cost of Goods Sold) / Revenue
=(4.987 - 2.217) / 4.987
=55.54 %

Future World Holdings'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 )
=1.3 / 1.287
=(Revenue - Cost of Goods Sold) / Revenue
=(1.287 - -0.043) / 1.287
=103.34 %

* 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.


Future World Holdings  (GREY:CNWFF) 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

Future World Holdings had a gross margin of 103.34% for the quarter that ended in Dec. 2023 => Durable 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.


Future World Holdings Gross Margin % Related Terms

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Future World Holdings (Future World Holdings) Business Description

Traded in Other Exchanges
Address
30 Harbour Road, Room 2601-2604 and 2637-2640, 26th Floor, Sun Hung Kai Centre, Wanchai, Hong Kong, HKG
Future World Holdings Ltd is an investment holding company. The company and its subsidiaries are principally engaged in the businesses of High technology business; Property investment; Provision of financing services; Securities trading and investment and Trading business and related service. Majority of revenue is derived from Provision of financing services segment. The group's operations are located in Hong Kong and the PRC, of which key revenue is derived from Hong Kong.

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