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United Strength Power Holdings (HKSE:02337) Gross Margin % : 6.00% (As of Dec. 2023)


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What is United Strength Power Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. United Strength Power Holdings's Gross Profit for the six months ended in Dec. 2023 was HK$273 Mil. United Strength Power Holdings's Revenue for the six months ended in Dec. 2023 was HK$4,553 Mil. Therefore, United Strength Power Holdings's Gross Margin % for the quarter that ended in Dec. 2023 was 6.00%.

Warning Sign:

United Strength Power Holdings Ltd gross margin has been in long-term decline. The average rate of decline per year is -29.6%.


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

HKSE:02337' s Gross Margin % Range Over the Past 10 Years
Min: 5.75   Med: 15.52   Max: 43.47
Current: 5.75


During the past 10 years, the highest Gross Margin % of United Strength Power Holdings was 43.47%. The lowest was 5.75%. And the median was 15.52%.

HKSE:02337's Gross Margin % is ranked worse than
85.05% of 923 companies
in the Oil & Gas industry
Industry Median: 28 vs HKSE:02337: 5.75

United Strength Power Holdings had a gross margin of 6.00% for the quarter that ended in Dec. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for United Strength Power Holdings was -29.60% per year.


United Strength Power Holdings Gross Margin % Historical Data

The historical data trend for United Strength Power 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.

United Strength Power Holdings Gross Margin % Chart

United Strength Power Holdings 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 12.65 13.51 10.51 6.46 5.75

United Strength Power Holdings Semi-Annual Data
Dec14 Dec15 Dec16 Jun17 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 Premium Member Only Premium Member Only Premium Member Only 8.07 6.59 6.35 5.42 6.00

Competitive Comparison of United Strength Power Holdings's Gross Margin %

For the Oil & Gas Refining & Marketing subindustry, United Strength Power 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.


United Strength Power Holdings's Gross Margin % Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, United Strength Power Holdings's Gross Margin % distribution charts can be found below:

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



United Strength Power Holdings Gross Margin % Calculation

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

United Strength Power 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 )
=461.9 / 8035.879
=(Revenue - Cost of Goods Sold) / Revenue
=(8035.879 - 7574.017) / 8035.879
=5.75 %

United Strength Power 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 )
=273.1 / 4553.239
=(Revenue - Cost of Goods Sold) / Revenue
=(4553.239 - 4280.172) / 4553.239
=6.00 %

* 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.


United Strength Power Holdings  (HKSE:02337) 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

United Strength Power Holdings had a gross margin of 6.00% 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.


United Strength Power Holdings Gross Margin % Related Terms

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


United Strength Power Holdings (HKSE:02337) Business Description

Traded in Other Exchanges
N/A
Address
Number 2101, Unit 1, Block 23, Zone G, Jilin Province, Solana 2, Erdao District, Changchun, CHN
United Strength Power Holdings Ltd operates a vehicle natural gas refueling station in the Jilin province of China. The company sells compressed natural gas, liquefied natural gas, and liquefied petroleum gas. It operates through three business segments namely, the Sale of refined oil, the Sale of natural gas, and the Provision of transportation services. The company generates maximum revenue from the sale of the refined oil segment.
Executives
Dynamic Fame Global Limited 2101 Beneficial owner
Xu Hang 2201 Interest of corporation controlled by you
Golden Truth Holdings Limited 2101 Beneficial owner
Ji Yuanyuan 2202 Interest of your spouse
Zhao Jinmin 2201 Interest of corporation controlled by you
Propitious Peak Limited
Heroic Year Limited
Liu Yingwu
Ma Dan

United Strength Power Holdings (HKSE:02337) Headlines

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