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China Shanshui Cement Group (HKSE:00691) Gross Margin % : 9.49% (As of Jun. 2024)


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What is China Shanshui Cement Group Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. China Shanshui Cement Group's Gross Profit for the six months ended in Jun. 2024 was HK$671 Mil. China Shanshui Cement Group's Revenue for the six months ended in Jun. 2024 was HK$7,069 Mil. Therefore, China Shanshui Cement Group's Gross Margin % for the quarter that ended in Jun. 2024 was 9.49%.

Warning Sign:

China Shanshui Cement Group Ltd gross margin has been in long-term decline. The average rate of decline per year is -19.8%.


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

HKSE:00691' s Gross Margin % Range Over the Past 10 Years
Min: 8.35   Med: 25.69   Max: 33.86
Current: 8.35


During the past 13 years, the highest Gross Margin % of China Shanshui Cement Group was 33.86%. The lowest was 8.35%. And the median was 25.69%.

HKSE:00691's Gross Margin % is ranked worse than
90.34% of 383 companies
in the Building Materials industry
Industry Median: 25.38 vs HKSE:00691: 8.35

China Shanshui Cement Group had a gross margin of 9.49% for the quarter that ended in Jun. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for China Shanshui Cement Group was -19.80% per year.


China Shanshui Cement Group Gross Margin % Historical Data

The historical data trend for China Shanshui Cement 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.

* Premium members only.

China Shanshui Cement Group Gross Margin % Chart

China Shanshui Cement Group 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 33.86 33.34 29.44 18.14 10.56

China Shanshui Cement Group Semi-Annual Data
Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
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 21.08 15.52 13.70 7.55 9.49

Competitive Comparison of China Shanshui Cement Group's Gross Margin %

For the Building Materials subindustry, China Shanshui Cement 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.


China Shanshui Cement Group's Gross Margin % Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, China Shanshui Cement Group's Gross Margin % distribution charts can be found below:

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



China Shanshui Cement Group Gross Margin % Calculation

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

China Shanshui Cement Group'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 )
=2092 / 19815.322
=(Revenue - Cost of Goods Sold) / Revenue
=(19815.322 - 17723.353) / 19815.322
=10.56 %

China Shanshui Cement Group's Gross Margin for the quarter that ended in Jun. 2024 is calculated as


Gross Margin % (Q: Jun. 2024 )=Gross Profit (Q: Jun. 2024 ) / Revenue (Q: Jun. 2024 )
=671.1 / 7069.38
=(Revenue - Cost of Goods Sold) / Revenue
=(7069.38 - 6398.289) / 7069.38
=9.49 %

* 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.


China Shanshui Cement Group  (HKSE:00691) 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

China Shanshui Cement Group had a gross margin of 9.49% for the quarter that ended in Jun. 2024 => 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.


China Shanshui Cement Group Gross Margin % Related Terms

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China Shanshui Cement Group Business Description

Traded in Other Exchanges
N/A
Address
Shanshui Industrial Park, Gushan Town, Changqing District, Shandong, Jinan, CHN, 250307
China Shanshui Cement Group Ltd is a cement producer in China. The company manufactures and sells cement, clinker, and concrete in several provinces of China. Its geographic segments include Shandong Province which contributes to the majority of revenue and several other provinces of China that include Northeastern China, Shanxi Province, and Xinjiang Region. Its products are used for national key projects, railways, highways, airports, real estate, and other infrastructure construction and are exported to more than 60 countries and other international markets.
Executives
Bo Hai Yin Hang Gu Fen You Xian Gong Si Da Lian Fen Hang 2106 Person having a security interest in shares
Shen Neng International Spc - Green Planet Sp 2101 Beneficial owner
Shen Neng Investment Management Limited 2101 Beneficial owner
Li Fengluan 2201 Interest of corporation controlled by you
Li Liufa 2201 Interest of corporation controlled by you
Tianrui (international) Holding Company Limited 2101 Beneficial owner
Tianrui Group Company Limited 2201 Interest of corporation controlled by you
Asia Cement Corporation 2101 Beneficial owner
Yu Yuan Investment Corporation Limited 2101 Beneficial owner
China Building Material Holdings Co., Limited 2101 Beneficial owner
China National Building Material Company Limited 2201 Interest of corporation controlled by you
China National Building Material Group Co., Ltd. 2201 Interest of corporation controlled by you

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