Lemo Services Co (HKSE:02539) Gross Margin %: 33.67% (As of Dec. 2025) — Near Median

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HKSE:02539 Lemo Services Co Ltd HKSE:02539
23 GF Score
Price HK$9.99
! 1 Warning Sign
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What is Lemo Services Co Gross Margin %?

Lemo Services Co HKSE:02539 +3.20% 23 Gross Margin % is 33.67% as of Dec. 2025, which is 3% below its 10-year median of 34.87. GuruFocus rates HKSE:02539 with a GF Score™ of 23/100. The stock has 1 warning sign investors should review. Among 93 Personal Services companies, Lemo Services Co ranks worse than 65.59% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Lemo Services Co's Gross Profit for the six months ended in Dec. 2025 was HK$337 Mil. Lemo Services Co's Revenue for the six months ended in Dec. 2025 was HK$1,002 Mil. Therefore, Lemo Services Co's Gross Margin % for the quarter that ended in Dec. 2025 was 33.67%.


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

HKSE:02539' s Gross Margin % Range Over the Past 10 Years
Min: 25.85   Med: 34.87   Max: 41.79
Current: 33.67


During the past 4 years, the highest Gross Margin % of Lemo Services Co was 41.79%. The lowest was 25.85%. And the median was 34.87%.

HKSE:02539's Gross Margin % is ranked worse than
65.59% of 93 companies
in the Personal Services industry
Industry Median: 41.82 vs HKSE:02539: 33.67

Lemo Services Co had a gross margin of 33.67% for the quarter that ended in Dec. 2025 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Lemo Services Co was 0.00% per year.


Lemo Services Co  (HKSE:02539) 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

Lemo Services Co had a gross margin of 33.67% for the quarter that ended in Dec. 2025 => 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.


Lemo Services Co Gross Margin % Related Terms


Lemo Services Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Lemo Services 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.

Lemo Services Co Gross Margin % Chart

Lemo Services Co Annual Data
Trend Dec22 Dec23 Dec24 Dec25
Gross Margin %
25.85 41.79 36.07 33.67

Lemo Services Co Semi-Annual Data
Dec22 Dec23 Dec24 Dec25
Gross Margin % 25.85 41.79 36.07 33.67

HKSE:02539 vs ROL, SCI, FTDR: Gross Margin % Comparison

For the Personal Services subindustry, Lemo Services 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.


Lemo Services Co Gross Margin % vs Personal Services Industry

For the Personal Services industry and Consumer Cyclical sector, Lemo Services Co's Gross Margin % distribution charts can be found below:

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


HKSE:02539
23GF Score
Lemo Services Co Ltd HKSE:02539
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Lemo Services Co Gross Margin % Calculation

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

Lemo Services 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 )
=337.3 / 1001.74
=(Revenue - Cost of Goods Sold) / Revenue
=(1001.74 - 664.413) / 1001.74
=33.67 %

Lemo Services 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 )
=337.3 / 1001.74
=(Revenue - Cost of Goods Sold) / Revenue
=(1001.74 - 664.413) / 1001.74
=33.67 %

* 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 33.67% mean?
Lemo Services Co (HKSE:02539) has a Gross Margin % of 33.67% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Lemo Services Co and its competitors. This is near median its historical median of 34.87. Over the past decade, Lemo Services Co's Gross Margin % has ranged from 25.85 to 41.79. According to the industry distribution chart, Lemo Services Co ranks #61 out of 93 companies in the Personal Services industry, placing it in the top 65.6%.
Is Lemo Services Co's Gross Margin % too high?
Lemo Services Co's current Gross Margin % of 33.67% is near median its 10-year median of 34.87. Over the past 10 years, this metric has ranged from a low of 25.85 to a high of 41.79. The Personal Services industry median Gross Margin % is 41.82. Lemo Services Co's value of 33.67% is 19.5% below this industry median. Based on the distribution chart, Lemo Services Co ranks #61 out of 93 companies in the Personal Services industry, which is below the industry midpoint. Overall, Lemo Services Co has a GF Score™ of 23/100, reflecting its overall financial health beyond just this single metric.
How does Lemo Services Co's Gross Margin % compare to ROL and SCI?
According to the Personal Services industry distribution chart, Lemo Services Co ranks #61 out of 93 companies for Gross Margin %. This places Lemo Services Co in the lower half of its industry. The industry median Gross Margin % is 41.82. Lemo Services Co's value of 33.67% is 19.5% below this benchmark. Historically, Lemo Services Co's own Gross Margin % has ranged from 25.85 to 41.79 over the past decade. While the company's 10-year median is 34.87 vs. the industry median of 41.82, Lemo Services 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 Personal Services company?
The median Gross Margin % among Personal Services companies is 41.82, based on 93 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. Lemo Services Co's current Gross Margin % of 33.67% is 19.5% 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 Lemo Services Co and its competitors. For the Personal Services industry, the median Gross Margin % is 41.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lemo Services Co's current Gross Margin % is 33.67%, which is near median its own 10-year median of 34.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lemo Services Co stock overvalued right now?
Lemo Services Co (HKSE:02539) has a current Gross Margin % of 33.67%. The current Gross Margin % is 33.67%, which is near median its 10-year median of 34.87 and 19.5% below the Personal Services industry median of 41.82. Lemo Services Co's overall GF Score™ is 23/100 with 1 warning sign 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 Lemo Services Co (HKSE:02539), the current Gross Margin % is 33.67% 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.

Lemo Services Co Business Description

Address 11 Keji East Road, 21st Floor, Building B, Wangxun Smart Center, High-Tech Zone, Fujian, Fuzhou, CHN
Lemo Services Co Ltd provides massage services performed by its mechanical massage equipment stationed at various points of service in public venues of high foot traffic across China. its segments are comprising Mechanical massage service under Direct Mode, which generates maximum revenue and engages in providing mechanical massage service to customers through its massage equipment located at the POS operated by the Group itself; Mechanical massage POS operation support services under Partner Mode, which engages in providing mechanical massage POS operation support services to Local Partners; and Others, which mainly engages in sales of household massage equipment and massage accessories, The Company generates maximum revenue from Chinese Mainland.
23GF Score

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