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Hands Form Holdings (HKSE:01920) Gross Margin % : -14.41% (As of Dec. 2023)


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What is Hands Form Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Hands Form Holdings's Gross Profit for the six months ended in Dec. 2023 was HK$-6.55 Mil. Hands Form Holdings's Revenue for the six months ended in Dec. 2023 was HK$45.47 Mil. Therefore, Hands Form Holdings's Gross Margin % for the quarter that ended in Dec. 2023 was -14.41%.


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

HKSE:01920' s Gross Margin % Range Over the Past 10 Years
Min: -54.03   Med: 5.9   Max: 12.57
Current: -24.79


During the past 8 years, the highest Gross Margin % of Hands Form Holdings was 12.57%. The lowest was -54.03%. And the median was 5.90%.

HKSE:01920's Gross Margin % is ranked worse than
99.07% of 1614 companies
in the Construction industry
Industry Median: 19.495 vs HKSE:01920: -24.79

Hands Form Holdings had a gross margin of -14.41% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Hands Form Holdings was 0.00% per year.


Hands Form Holdings Gross Margin % Historical Data

The historical data trend for Hands Form 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.

Hands Form Holdings Gross Margin % Chart

Hands Form Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial 12.57 1.25 -54.03 -23.37 -24.78

Hands Form Holdings Semi-Annual Data
Dec16 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 -104.40 -56.59 -4.83 -36.23 -14.41

Competitive Comparison of Hands Form Holdings's Gross Margin %

For the Engineering & Construction subindustry, Hands Form 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.


Hands Form Holdings's Gross Margin % Distribution in the Construction Industry

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

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



Hands Form Holdings Gross Margin % Calculation

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

Hands Form 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 )
=-21.5 / 86.702
=(Revenue - Cost of Goods Sold) / Revenue
=(86.702 - 108.191) / 86.702
=-24.78 %

Hands Form 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 )
=-6.6 / 45.467
=(Revenue - Cost of Goods Sold) / Revenue
=(45.467 - 52.018) / 45.467
=-14.41 %

* 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.


Hands Form Holdings  (HKSE:01920) 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

Hands Form Holdings had a gross margin of -14.41% 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.


Hands Form Holdings Gross Margin % Related Terms

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


Hands Form Holdings (HKSE:01920) Business Description

Traded in Other Exchanges
N/A
Address
28 Shanghai Street, Room 9, 2nd Floor, Hang Bong Commercial Centre, Jordan, Kowloon, Hong Kong, HKG
Hands Form Holdings Ltd is an established subcontractor in Hong Kong and principally engaged in the provision of wet trades work and other wet trades-related ancillary works. Wet trades works include plastering on floors, walls, and ceilings, tile laying on internal and external walls and floors, bricklaying, and marble works. The company's segment includes Construction services and Construction IT services. It generates maximum revenue from the Construction services segment.
Executives
Wonderful Renown Limited 2101 Beneficial owner
Cheung Lai Chun 2103 Interests held jointly with another person
Chan Shui King 2202 Interest of your spouse
Cheung Kwok Fai Adam 2201 Interest of corporation controlled by you

Hands Form Holdings (HKSE:01920) Headlines

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