Rego Interactive Co (HKSE:02422) Gross Margin %: 6.29% (As of Dec. 2025) — 87% Below Median

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HKSE:02422 Rego Interactive Co Ltd HKSE:02422
60 GF Score
Price HK$2.04
GF Value HK$0.88
Valuation Significantly Overvalued
! 8 Warning Signs
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What is Rego Interactive Co Gross Margin %?

Rego Interactive Co HKSE:02422 -1.92% 60 Gross Margin % is 6.29% as of Dec. 2025, which is 87% below its 10-year median of 50.20. GuruFocus rates HKSE:02422 with a GF Score™ of 60/100 and a GF Value™ of HK$0.88 (Significantly Overvalued). The stock has 8 warning signs investors should review. Among 941 Media - Diversified companies, Rego Interactive Co ranks worse than 89.8% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Rego Interactive Co's Gross Profit for the six months ended in Dec. 2025 was HK$25.5 Mil. Rego Interactive Co's Revenue for the six months ended in Dec. 2025 was HK$406.3 Mil. Therefore, Rego Interactive Co's Gross Margin % for the quarter that ended in Dec. 2025 was 6.29%.

Warning Sign:

Rego Interactive Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -29%.


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

HKSE:02422' s Gross Margin % Range Over the Past 10 Years
Min: 8.85   Med: 50.2   Max: 67.12
Current: 8.85


During the past 7 years, the highest Gross Margin % of Rego Interactive Co was 67.12%. The lowest was 8.85%. And the median was 50.20%.

HKSE:02422's Gross Margin % is ranked worse than
89.8% of 941 companies
in the Media - Diversified industry
Industry Median: 38.99 vs HKSE:02422: 8.85

Rego Interactive Co had a gross margin of 6.29% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Rego Interactive Co was -29.00% per year.


Rego Interactive Co  (HKSE:02422) 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

Rego Interactive Co had a gross margin of 6.29% for the quarter that ended in Dec. 2025 => 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.


Rego Interactive Co Gross Margin % Related Terms


Rego Interactive Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Rego Interactive Co'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.

Rego Interactive Co Gross Margin % Chart

Rego Interactive Co Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial 50.20 52.01 53.21 26.90 8.87

Rego Interactive Co Semi-Annual Data
Dec19 Dec20 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 47.71 35.68 18.95 15.87 6.29

HKSE:02422 vs APP, OMC, TTD: Gross Margin % Comparison

For the Advertising Agencies subindustry, Rego Interactive Co'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.


Rego Interactive Co Gross Margin % vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Rego Interactive Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Rego Interactive Co's Gross Margin % falls into.


HKSE:02422
60GF Score
Rego Interactive Co Ltd HKSE:02422
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Rego Interactive Co Gross Margin % Calculation

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

Rego Interactive Co's Gross Margin for the fiscal year that ended in Dec. 2025 is calculated as

Gross Margin % (A: Dec. 2025 )=Gross Profit (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=49.3 / 556.333
=(Revenue - Cost of Goods Sold) / Revenue
=(556.333 - 506.994) / 556.333
=8.87 %

Rego Interactive Co's Gross Margin for the quarter that ended in Dec. 2025 is calculated as


Gross Margin % (Q: Dec. 2025 )=Gross Profit (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=25.5 / 406.349
=(Revenue - Cost of Goods Sold) / Revenue
=(406.349 - 380.809) / 406.349
=6.29 %

* 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 6.29% mean?
Rego Interactive Co (HKSE:02422) has a Gross Margin % of 6.29% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Rego Interactive Co and its competitors. This is 87% below median its historical median of 50.20. Over the past decade, Rego Interactive Co's Gross Margin % has ranged from 8.85 to 67.12. According to the industry distribution chart, Rego Interactive Co ranks #845 out of 941 companies in the Media - Diversified industry, placing it in the top 89.8%.
Is Rego Interactive Co's Gross Margin % too high?
Rego Interactive Co's current Gross Margin % of 6.29% is 87% below median its 10-year median of 50.20. Over the past 10 years, this metric has ranged from a low of 8.85 to a high of 67.12. The Media - Diversified industry median Gross Margin % is 38.99. Rego Interactive Co's value of 6.29% is 83.9% below this industry median. Based on the distribution chart, Rego Interactive Co ranks #845 out of 941 companies in the Media - Diversified industry, which is in the bottom quartile relative to peers. Overall, Rego Interactive Co has a GF Score™ of 60/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Rego Interactive Co's Gross Margin % compare to APP and OMC?
According to the Media - Diversified industry distribution chart, Rego Interactive Co ranks #845 out of 941 companies for Gross Margin %. This places Rego Interactive Co in the lower half of its industry. The industry median Gross Margin % is 38.99. Rego Interactive Co's value of 6.29% is 83.9% below this benchmark. Historically, Rego Interactive Co's own Gross Margin % has ranged from 8.85 to 67.12 over the past decade. While the company's 10-year median is 50.20 vs. the industry median of 38.99, Rego Interactive Co has consistently been below 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 Media - Diversified company?
The median Gross Margin % among Media - Diversified companies is 38.99, based on 941 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. Rego Interactive Co's current Gross Margin % of 6.29% is 83.9% below 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 Rego Interactive Co and its competitors. For the Media - Diversified industry, the median Gross Margin % is 38.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rego Interactive Co's current Gross Margin % is 6.29%, which is 87% below median its own 10-year median of 50.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rego Interactive Co stock overvalued right now?
Based on GuruFocus' analysis, Rego Interactive Co (HKSE:02422) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$0.88, compared to a current price of HK$2.04 — trading 131.8% above its estimated fair value. The current Gross Margin % is 6.29%, which is 87% below median its 10-year median of 50.20 and 83.9% below the Media - Diversified industry median of 38.99. Rego Interactive Co's overall GF Score™ is 60/100 with 8 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 Rego Interactive Co (HKSE:02422), the current Gross Margin % is 6.29% 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.

Is Rego Interactive Co (HKSE:02422) Overvalued in 2026?

Based on GuruFocus' analysis, Rego Interactive Co stock appears to be overvalued. The current stock price of HK$2.04 is trading 131.8% above its estimated GF Value™ of HK$0.88. GuruFocus considers Rego Interactive Co to be Significantly Overvalued.

Key valuation signals for HKSE:02422:

  • Gross Margin %: 6.29% (87% below median its 10-year median of 50.20)
  • GF Value™: HK$0.88 vs. price of HK$2.04 (131.8% above fair value)
  • GF Score™: 60/100 with 8 warning signs
  • Industry Position: 83.9% below the Media - Diversified median (#845 of 941)

No single metric tells the full story. See the HKSE:02422 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Rego Interactive Co Business Description

Address No. 77 Yinxi Road, Yinhu Street, 19th Floor, Runge Interactive Headquarters Building, Fuyang District, Hangzhou, CHN, 311400
Rego Interactive Co Ltd is engaged in providing marketing and promotion services and IT solutions services in the PRC. The group has two reporting segments namely provision of corporate digitalization solutions services and provision of industry digitalization solutions services. The Corporate digitalization solutions services mainly comprise the Groups traditional marketing and promotion services, advertisement placement services, advertisement distribution services, virtual goods sourcing and delivery services, tangible goods sourcing and delivery services and software development and maintenance services. The Industry digitalization solutions services mainly comprise the groups solutions on lottery related software systems and equipment.
60GF Score

Get the complete analysis for HKSE:02422

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

HK$2.04
Price
HK$0.88
GF Value