Nan Nan Resources Enterprise (HKSE:01229) Gross Margin %: 36.67% (As of Mar. 2026) — 10% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

HKSE:01229 Nan Nan Resources Enterprise Ltd HKSE:01229
49 GF Score
Price HK$0.17
GF Value HK$0.30
Valuation Possible Value Trap
! 4 Warning Signs
View Full Analysis

What is Nan Nan Resources Enterprise Gross Margin %?

Nan Nan Resources Enterprise HKSE:01229 +4.85% 49 Gross Margin % is 36.67% as of Mar. 2026, which is 10% below its 10-year median of 40.95. GuruFocus rates HKSE:01229 with a GF Score™ of 49/100 and a GF Value™ of HK$0.30 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 124 Other Energy Sources companies, Nan Nan Resources Enterprise ranks better than 82.26% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Nan Nan Resources Enterprise's Gross Profit for the six months ended in Mar. 2026 was HK$71.3 Mil. Nan Nan Resources Enterprise's Revenue for the six months ended in Mar. 2026 was HK$194.3 Mil. Therefore, Nan Nan Resources Enterprise's Gross Margin % for the quarter that ended in Mar. 2026 was 36.67%.

Warning Sign:

Nan Nan Resources Enterprise 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 Nan Nan Resources Enterprise's Gross Margin % or its related term are showing as below:

HKSE:01229' s Gross Margin % Range Over the Past 10 Years
Min: 28.53   Med: 40.95   Max: 55.79
Current: 37.77


During the past 13 years, the highest Gross Margin % of Nan Nan Resources Enterprise was 55.79%. The lowest was 28.53%. And the median was 40.95%.

HKSE:01229's Gross Margin % is ranked better than
82.26% of 124 companies
in the Other Energy Sources industry
Industry Median: 18.18 vs HKSE:01229: 37.77

Nan Nan Resources Enterprise had a gross margin of 36.67% for the quarter that ended in Mar. 2026 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Nan Nan Resources Enterprise was -3.80% per year.


Nan Nan Resources Enterprise  (HKSE:01229) 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

Nan Nan Resources Enterprise had a gross margin of 36.67% for the quarter that ended in Mar. 2026 => Competition eroding margins


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.


Nan Nan Resources Enterprise Gross Margin % Related Terms


Nan Nan Resources Enterprise Gross Margin % Historical Data

* Premium members only.

The historical data trend for Nan Nan Resources Enterprise'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.

Nan Nan Resources Enterprise Gross Margin % Chart

Nan Nan Resources Enterprise Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 54.16 55.79 37.17 46.94 37.77

Nan Nan Resources Enterprise Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
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 57.10 53.97 38.53 38.87 36.67

Nan Nan Resources Enterprise Gross Margin % Competitor Comparison

For the Thermal Coal subindustry, Nan Nan Resources Enterprise'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.


Nan Nan Resources Enterprise Gross Margin % vs Other Energy Sources Industry

For the Other Energy Sources industry and Energy sector, Nan Nan Resources Enterprise's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Nan Nan Resources Enterprise's Gross Margin % falls into.


HKSE:01229
49GF Score
Nan Nan Resources Enterprise Ltd HKSE:01229
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Nan Nan Resources Enterprise Gross Margin % Calculation

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

Nan Nan Resources Enterprise's Gross Margin for the fiscal year that ended in Mar. 2026 is calculated as

Gross Margin % (A: Mar. 2026 )=Gross Profit (A: Mar. 2026 ) / Revenue (A: Mar. 2026 )
=146.5 / 387.965
=(Revenue - Cost of Goods Sold) / Revenue
=(387.965 - 241.424) / 387.965
=37.77 %

Nan Nan Resources Enterprise's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=71.3 / 194.313
=(Revenue - Cost of Goods Sold) / Revenue
=(194.313 - 123.054) / 194.313
=36.67 %

* 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.

Frequently Asked Questions Learn more about Gross Margin % →
What does a Gross Margin % of 36.67% mean?
Nan Nan Resources Enterprise (HKSE:01229) has a Gross Margin % of 36.67% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Nan Nan Resources Enterprise and its competitors. This is 10% below median its historical median of 40.95. Over the past decade, Nan Nan Resources Enterprise's Gross Margin % has ranged from 28.53 to 55.79. According to the industry distribution chart, Nan Nan Resources Enterprise ranks #22 out of 124 companies in the Other Energy Sources industry, placing it in the top 17.7%.
Is Nan Nan Resources Enterprise's Gross Margin % too high?
Nan Nan Resources Enterprise's current Gross Margin % of 36.67% is 10% below median its 10-year median of 40.95. Over the past 10 years, this metric has ranged from a low of 28.53 to a high of 55.79. The Other Energy Sources industry median Gross Margin % is 18.18. Nan Nan Resources Enterprise's value of 36.67% is 101.7% above this industry median. Based on the distribution chart, Nan Nan Resources Enterprise ranks #22 out of 124 companies in the Other Energy Sources industry, which is in the top quartile — a strong position relative to peers. Overall, Nan Nan Resources Enterprise has a GF Score™ of 49/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Nan Nan Resources Enterprise's Gross Margin % compare to competitors?
According to the Other Energy Sources industry distribution chart, Nan Nan Resources Enterprise ranks #22 out of 124 companies for Gross Margin %. This places Nan Nan Resources Enterprise in the top 18% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 18.18. Nan Nan Resources Enterprise's value of 36.67% is 101.7% above this benchmark. Historically, Nan Nan Resources Enterprise's own Gross Margin % has ranged from 28.53 to 55.79 over the past decade. While the company's 10-year median is 40.95 vs. the industry median of 18.18, Nan Nan Resources Enterprise 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 an Other Energy Sources company?
The median Gross Margin % among Other Energy Sources companies is 18.18, based on 124 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. Nan Nan Resources Enterprise's current Gross Margin % of 36.67% is 101.7% 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 Nan Nan Resources Enterprise and its competitors. For the Other Energy Sources industry, the median Gross Margin % is 18.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nan Nan Resources Enterprise's current Gross Margin % is 36.67%, which is 10% below median its own 10-year median of 40.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nan Nan Resources Enterprise stock overvalued right now?
Based on GuruFocus' analysis, Nan Nan Resources Enterprise (HKSE:01229) is currently considered Possible Value Trap. The stock's GF Value™ is HK$0.30, compared to a current price of HK$0.17 — trading 42.3% below its estimated fair value. The current Gross Margin % is 36.67%, which is 10% below median its 10-year median of 40.95 and 101.7% above the Other Energy Sources industry median of 18.18. Nan Nan Resources Enterprise's overall GF Score™ is 49/100 with 4 warning signs to review. 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 Nan Nan Resources Enterprise (HKSE:01229), the current Gross Margin % is 36.67% as of Mar. 2026. 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.

Is Nan Nan Resources Enterprise (HKSE:01229) Overvalued in 2026?

Based on GuruFocus' analysis, Nan Nan Resources Enterprise stock appears to be undervalued. The current stock price of HK$0.17 is trading 42.3% below its estimated GF Value™ of HK$0.30. GuruFocus considers Nan Nan Resources Enterprise to be Possible Value Trap.

Key valuation signals for HKSE:01229:

  • Gross Margin %: 36.67% (10% below median its 10-year median of 40.95)
  • GF Value™: HK$0.30 vs. price of HK$0.17 (42.3% below fair value)
  • GF Score™: 49/100 with 4 warning signs
  • Industry Position: 101.7% above the Other Energy Sources median (#22 of 124)

No single metric tells the full story. See the HKSE:01229 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Nan Nan Resources Enterprise Business Description

Address 18 Harcourt Road, Admiralty Centre, 11th Floor, Tower 2, Admiralty, Hong Kong, HKG
Nan Nan Resources Enterprise Ltd is an investment holding company. Along with subsidiary company engaged in the business segment of Coal mining business segment, which provides mining and sales of coal in Xinjiang, Mainland China; the Renewable energy business segment: service income from renewable energy solutions in Malaysia; and IT Services business segment: provision of IT Services in Hong Kong, Singapore, Malaysia, and the UK. It generates maximum revenue from the Coal mining business segment. The geographic operation is located in Mainland China, Hong Kong, Malaysia, Singapore, and the UK.
49GF Score

Get the complete analysis for HKSE:01229

Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$0.17
Price
HK$0.30
GF Value