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CTR Holdings (HKSE:01416) Gross Margin % : 12.47% (As of Aug. 2023)


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What is CTR Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. CTR Holdings's Gross Profit for the six months ended in Aug. 2023 was HK$43.8 Mil. CTR Holdings's Revenue for the six months ended in Aug. 2023 was HK$351.5 Mil. Therefore, CTR Holdings's Gross Margin % for the quarter that ended in Aug. 2023 was 12.47%.

Warning Sign:

CTR Holdings Ltd gross margin has been in long-term decline. The average rate of decline per year is -10.6%.


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

HKSE:01416' s Gross Margin % Range Over the Past 10 Years
Min: 8.12   Med: 22.23   Max: 31.6
Current: 18.84


During the past 7 years, the highest Gross Margin % of CTR Holdings was 31.60%. The lowest was 8.12%. And the median was 22.23%.

HKSE:01416's Gross Margin % is ranked worse than
50.65% of 1613 companies
in the Construction industry
Industry Median: 19.23 vs HKSE:01416: 18.84

CTR Holdings had a gross margin of 12.47% for the quarter that ended in Aug. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for CTR Holdings was -10.60% per year.


CTR Holdings Gross Margin % Historical Data

The historical data trend for CTR 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.

CTR Holdings Gross Margin % Chart

CTR Holdings Annual Data
Trend Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23
Gross Margin %
Get a 7-Day Free Trial 25.83 29.77 15.61 8.12 22.23

CTR Holdings Semi-Annual Data
Feb17 Feb18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 13.33 4.40 16.91 26.42 12.47

Competitive Comparison of CTR Holdings's Gross Margin %

For the Engineering & Construction subindustry, CTR 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.


CTR Holdings's Gross Margin % Distribution in the Construction Industry

For the Construction industry and Industrials sector, CTR Holdings's Gross Margin % distribution charts can be found below:

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



CTR Holdings Gross Margin % Calculation

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

CTR Holdings's Gross Margin for the fiscal year that ended in Feb. 2023 is calculated as

Gross Margin % (A: Feb. 2023 )=Gross Profit (A: Feb. 2023 ) / Revenue (A: Feb. 2023 )
=117.5 / 528.766
=(Revenue - Cost of Goods Sold) / Revenue
=(528.766 - 411.236) / 528.766
=22.23 %

CTR Holdings's Gross Margin for the quarter that ended in Aug. 2023 is calculated as


Gross Margin % (Q: Aug. 2023 )=Gross Profit (Q: Aug. 2023 ) / Revenue (Q: Aug. 2023 )
=43.8 / 351.459
=(Revenue - Cost of Goods Sold) / Revenue
=(351.459 - 307.64) / 351.459
=12.47 %

* 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.


CTR Holdings  (HKSE:01416) 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

CTR Holdings had a gross margin of 12.47% for the quarter that ended in Aug. 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.


CTR Holdings Gross Margin % Related Terms

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


CTR Holdings (HKSE:01416) Business Description

Traded in Other Exchanges
N/A
Address
21 Woodlands Close No. 08-11/12, Primz Bizhub, Singapore, SGP, 737854
CTR Holdings Ltd is an investment holding company. The company focuses on the provision of structural engineering works and wet architectural works services. The company generates maximum revenue from Structural engineering works. Geographically, the company derives revenue from Singapore. The Structural engineering works services of the company include reinforced concrete works which include steel reinforcement works, formwork erection and concrete works, and Precast installation works while the Wet architectural works services include Masonry building works; Plastering and screeding works; Tiling works and Waterproofing works.

CTR Holdings (HKSE:01416) Headlines

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