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Great Wall Terroir Holdings (HKSE:00524) Gross Margin % : 5.67% (As of Dec. 2023)


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What is Great Wall Terroir Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Great Wall Terroir Holdings's Gross Profit for the six months ended in Dec. 2023 was HK$2.69 Mil. Great Wall Terroir Holdings's Revenue for the six months ended in Dec. 2023 was HK$47.42 Mil. Therefore, Great Wall Terroir Holdings's Gross Margin % for the quarter that ended in Dec. 2023 was 5.67%.

Warning Sign:

Great Wall Terroir Holdings Ltd gross margin has been in long-term decline. The average rate of decline per year is -41.2%.


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

HKSE:00524' s Gross Margin % Range Over the Past 10 Years
Min: 4.68   Med: 47.23   Max: 55.68
Current: 5.68


During the past 13 years, the highest Gross Margin % of Great Wall Terroir Holdings was 55.68%. The lowest was 4.68%. And the median was 47.23%.

HKSE:00524's Gross Margin % is ranked worse than
96.59% of 352 companies
in the Telecommunication Services industry
Industry Median: 49.06 vs HKSE:00524: 5.68

Great Wall Terroir Holdings had a gross margin of 5.67% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Great Wall Terroir Holdings was -41.20% per year.


Great Wall Terroir Holdings Gross Margin % Historical Data

The historical data trend for Great Wall Terroir 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.

Great Wall Terroir Holdings Gross Margin % Chart

Great Wall Terroir 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 17.03 7.95 4.68 6.05 5.68

Great Wall Terroir 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 7.24 5.82 6.28 5.70 5.67

Competitive Comparison of Great Wall Terroir Holdings's Gross Margin %

For the Telecom Services subindustry, Great Wall Terroir 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.


Great Wall Terroir Holdings's Gross Margin % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Great Wall Terroir Holdings's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Great Wall Terroir Holdings's Gross Margin % falls into.



Great Wall Terroir Holdings Gross Margin % Calculation

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

Great Wall Terroir 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 )
=5.1 / 89.075
=(Revenue - Cost of Goods Sold) / Revenue
=(89.075 - 84.012) / 89.075
=5.68 %

Great Wall Terroir 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 )
=2.7 / 47.416
=(Revenue - Cost of Goods Sold) / Revenue
=(47.416 - 44.726) / 47.416
=5.67 %

* 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.


Great Wall Terroir Holdings  (HKSE:00524) 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

Great Wall Terroir Holdings had a gross margin of 5.67% 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.


Great Wall Terroir Holdings Gross Margin % Related Terms

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


Great Wall Terroir Holdings (HKSE:00524) Business Description

Traded in Other Exchanges
N/A
Address
No. 89 Queensway, Tower Two, Lippo Centre, Room 1005, 10th Floor, Hong Kong, HKG
Great Wall Terroir Holdings Ltd is principally engaged in the telecommunication and information technology business. The business segments of the Group comprise telecommunication services, IT & distribution services and property investment. The majority of revenue is from the Telecommunication services segment. Geographically, The Group's operations are located in Hong Kong and Singapore, out of which the majority is from Singapore.

Great Wall Terroir Holdings (HKSE:00524) Headlines

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