HERB (Yasheng Group) Gross Margin %: 10.91% (As of Dec. 2015)


What is Yasheng Group Gross Margin %?

Yasheng Group HERB -1.00% Gross Margin % is 10.91% as of Dec. 2015.

Gross Margin % is calculated as gross profit divided by its revenue. Yasheng Group's Gross Profit for the three months ended in Dec. 2015 was $25.0 Mil. Yasheng Group's Revenue for the three months ended in Dec. 2015 was $229.3 Mil. Therefore, Yasheng Group's Gross Margin % for the quarter that ended in Dec. 2015 was 10.91%.


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


HERB's Gross Margin % is not ranked *
in the Consumer Packaged Goods industry.
Industry Median: 26.37
* Ranked among companies with meaningful Gross Margin % only.

Yasheng Group had a gross margin of 10.91% for the quarter that ended in Dec. 2015 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Yasheng Group was 0.00% per year.


Yasheng Group  (OTCPK:HERB) 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

Yasheng Group had a gross margin of 10.91% for the quarter that ended in Dec. 2015 => 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.


Yasheng Group Gross Margin % Related Terms


Yasheng Group Gross Margin % Historical Data

* Premium members only.

The historical data trend for Yasheng Group'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.

Yasheng Group Gross Margin % Chart

Yasheng Group Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.81 13.41 14.19 14.11 12.69

Yasheng Group Quarterly Data
Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15
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 16.68 10.96 12.19 15.98 10.91

HERB vs BIQI: Gross Margin % Comparison

For the Farm Products subindustry, Yasheng Group'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.


Yasheng Group Gross Margin % vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Yasheng Group's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Yasheng Group's Gross Margin % falls into.



Yasheng Group Gross Margin % Calculation

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

Yasheng Group's Gross Margin for the fiscal year that ended in Dec. 2015 is calculated as

Gross Margin % (A: Dec. 2015 )=Gross Profit (A: Dec. 2015 ) / Revenue (A: Dec. 2015 )
=119.2 / 938.896
=(Revenue - Cost of Goods Sold) / Revenue
=(938.896 - 819.738) / 938.896
=12.69 %

Yasheng Group's Gross Margin for the quarter that ended in Dec. 2015 is calculated as


Gross Margin % (Q: Dec. 2015 )=Gross Profit (Q: Dec. 2015 ) / Revenue (Q: Dec. 2015 )
=25 / 229.259
=(Revenue - Cost of Goods Sold) / Revenue
=(229.259 - 204.245) / 229.259
=10.91 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 10.91% mean?
Yasheng Group (HERB) has a Gross Margin % of 10.91% as of Dec. 2015. Gross margin is the ratio of total gross profit to net sales. View historical data on Yasheng Group and its competitors.
Is Yasheng Group's Gross Margin % too high?
Yasheng Group's current Gross Margin % is 10.91%. The Consumer Packaged Goods industry median Gross Margin % is 26.37. Yasheng Group's value of 10.91% is 58.6% below this industry median.
How does Yasheng Group's Gross Margin % compare to BIQI?
Yasheng Group's Gross Margin % of 10.91% can be compared against companies in the Consumer Packaged Goods industry. The industry median Gross Margin % is 26.37. Yasheng Group's value of 10.91% is 58.6% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Consumer Packaged Goods company?
The median Gross Margin % among Consumer Packaged Goods companies is 26.37, based on 1,902 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Yasheng Group's current Gross Margin % of 10.91% is 58.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Yasheng Group and its competitors. For the Consumer Packaged Goods industry, the median Gross Margin % is 26.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Yasheng Group's current Gross Margin % is 10.91%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Yasheng Group stock overvalued right now?
Yasheng Group (HERB) has a current Gross Margin % of 10.91%. The current Gross Margin % is 10.91% and 58.6% below the Consumer Packaged Goods industry median of 26.37. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Yasheng Group (HERB), the current Gross Margin % is 10.91% as of Dec. 2015. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Yasheng Group Business Description

Address 710 Lakeway Drive, Suite 200, Sunnyvale, CA, USA, 94085
Yasheng Group is a Colorado corporation, a U.S. company that conducts business operations in the U.S., China, and the Philippines through four segments: Mining, Agriculture and Biotechnology, and Blockchain+ IOT. The company's agricultural products include herbal medicines, organic herbal food products, ginkgo, songaricum, betel nut, coconut, coffee, wolfberry, hemp, and other specialty crops. It also designs, develops, and markets new technologies related to agriculture and genetic biology.