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CNT GroupHKSE:00701 Gross Margin % is 45.62% as of Dec. 2025, which is 52% above its 10-year median of 29.99. The stock has 2 warning signs investors should review. Among 1,559 Chemicals companies, CNT Group ranks better than 86.59% on this metric.
Gross Margin % is calculated as gross profit divided by its revenue. CNT Group's Gross Profit for the
six
months ended in Dec. 2025 was HK$67.8 Mil. CNT Group's Revenue for the
six
months ended in Dec. 2025 was HK$148.7 Mil. Therefore, CNT Group's Gross Margin % for the quarter that ended in Dec. 2025 was 45.62%.
The historical rank and industry rank for CNT Group's Gross Margin % or its related term are showing as below:
HKSE:00701'
s Gross Margin % Range Over the Past 10 Years
Min: 21.45 Med: 29.99 Max: 44.08
Current: 44.08
During the past 13 years, the highestGross Margin % of CNT Group was 44.08%. The lowest was 21.45%. And the median was 29.99%.
HKSE:00701's Gross Margin % is ranked better than 86.59% of 1559
companies
in the Chemicals industry
Industry Median: 23.54
vs HKSE:00701: 44.08
CNT Group had a gross margin of 45.62% for the quarter that ended in Dec. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for CNT Group was 11.80% per year.
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
CNT Group had a gross margin of 45.62% for the quarter that ended in Dec. 2025 => 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.
CNT Group Gross Margin % Related Terms
CNT Group Gross Margin % Historical Data
* Premium members only.
The historical data trend for CNT 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.
HKSE:00701 vs LIN, SHW, ECL: Gross Margin % Comparison
For the Specialty Chemicals subindustry, CNT 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.
CNT Group Gross Margin % vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, CNT Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where CNT Group's Gross Margin % falls into.
* 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.
CNT Group (HKSE:00701) has a Gross Margin % of 45.62% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on CNT Group and its competitors. This is 52% above median its historical median of 29.99. Over the past decade, CNT Group's Gross Margin % has ranged from 21.45 to 44.08. According to the industry distribution chart, CNT Group ranks #209 out of 1559 companies in the Chemicals industry, placing it in the top 13.4%.
Is CNT Group's Gross Margin % too high?
CNT Group's current Gross Margin % of 45.62% is 52% above median its 10-year median of 29.99. Over the past 10 years, this metric has ranged from a low of 21.45 to a high of 44.08. The Chemicals industry median Gross Margin % is 23.54. CNT Group's value of 45.62% is 93.8% above this industry median. Based on the distribution chart, CNT Group ranks #209 out of 1559 companies in the Chemicals industry, which is in the top quartile — a strong position relative to peers.
How does CNT Group's Gross Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, CNT Group ranks #209 out of 1559 companies for Gross Margin %. This places CNT Group in the top 13% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 23.54. CNT Group's value of 45.62% is 93.8% above this benchmark. Historically, CNT Group's own Gross Margin % has ranged from 21.45 to 44.08 over the past decade. While the company's 10-year median is 29.99 vs. the industry median of 23.54, CNT Group has consistently been above the industry average. 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 Chemicals company?
The median Gross Margin % among Chemicals companies is 23.54, based on 1,559 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. CNT Group's current Gross Margin % of 45.62% is 93.8% above 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 CNT Group and its competitors. For the Chemicals industry, the median Gross Margin % is 23.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CNT Group's current Gross Margin % is 45.62%, which is 52% above median its own 10-year median of 29.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CNT Group stock overvalued right now?
Based on GuruFocus' analysis, CNT Group (HKSE:00701) is currently considered Modestly Undervalued. The stock's GF Value™ is HK$0.14, compared to a current price of HK$0.10 — trading 29.3% below its estimated fair value. The current Gross Margin % is 45.62%, which is 52% above median its 10-year median of 29.99 and 93.8% above the Chemicals industry median of 23.54. 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 CNT Group (HKSE:00701), the current Gross Margin % is 45.62% as of Dec. 2025. 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.
CNT Group Ltd is an investment holding company. The company is principally engaged in the manufacture and sale of paint products, property investment (including the investment properties for rental income potential or for sale, and the proposed elderly caring centre development in Hong Kong), hotel business and investment holding activities. The company has three principal business segments, namely (a) investment property business; (b) hotel business; and (c) paint and coating business. The majority of the company's revenue is derived from the paint products segment, which engages in the manufacture and sale of paint and coating products. Geographically, the maximum revenue is generated from Mainland China and the rest from Hong Kong.
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