Fangzhou (HKSE:06086) Gross Margin %: 14.32% (As of Dec. 2025) — 17% Below Median

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HKSE:06086 Fangzhou Inc HKSE:06086
11 GF Score
Price HK$0.74
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What is Fangzhou Gross Margin %?

Fangzhou HKSE:06086 +0.68% 11 Gross Margin % is 14.32% as of Dec. 2025, which is 17% below its 10-year median of 17.27. GuruFocus rates HKSE:06086 with a GF Score™ of 11/100. The stock has 3 warning signs investors should review. Among 631 Healthcare Providers & Services companies, Fangzhou ranks worse than 92.71% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Fangzhou's Gross Profit for the six months ended in Dec. 2025 was HK$322 Mil. Fangzhou's Revenue for the six months ended in Dec. 2025 was HK$2,245 Mil. Therefore, Fangzhou's Gross Margin % for the quarter that ended in Dec. 2025 was 14.32%.


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

HKSE:06086' s Gross Margin % Range Over the Past 10 Years
Min: 12.49   Med: 17.27   Max: 20.02
Current: 14.51


During the past 5 years, the highest Gross Margin % of Fangzhou was 20.02%. The lowest was 12.49%. And the median was 17.27%.

HKSE:06086's Gross Margin % is ranked worse than
92.71% of 631 companies
in the Healthcare Providers & Services industry
Industry Median: 40.25 vs HKSE:06086: 14.51

Fangzhou had a gross margin of 14.32% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage

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


Fangzhou  (HKSE:06086) 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

Fangzhou had a gross margin of 14.32% 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.


Fangzhou Gross Margin % Related Terms


Fangzhou Gross Margin % Historical Data

* Premium members only.

The historical data trend for Fangzhou'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.

Fangzhou Gross Margin % Chart

Fangzhou Annual Data
Trend Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
12.49 17.27 20.02 19.06 15.87

Fangzhou Semi-Annual Data
Dec21 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25 Jun26
Gross Margin % Get a 7-Day Free Trial Premium Member Only 20.07 18.08 17.97 14.32 14.72

Fangzhou Gross Margin % Competitor Comparison

For the Pharmaceutical Retailers subindustry, Fangzhou'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.


Fangzhou Gross Margin % vs Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Fangzhou's Gross Margin % distribution charts can be found below:

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


HKSE:06086
11GF Score
Fangzhou Inc HKSE:06086
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Fangzhou Gross Margin % Calculation

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

Fangzhou'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 )
=618 / 3895.44
=(Revenue - Cost of Goods Sold) / Revenue
=(3895.44 - 3277.409) / 3895.44
=15.87 %

Fangzhou'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 )
=321.6 / 2245.454
=(Revenue - Cost of Goods Sold) / Revenue
=(2245.454 - 1923.856) / 2245.454
=14.32 %

* 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 14.32% mean?
Fangzhou (HKSE:06086) has a Gross Margin % of 14.32% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Fangzhou and its competitors. This is 17% below median its historical median of 17.27. Over the past decade, Fangzhou's Gross Margin % has ranged from 12.49 to 20.02. According to the industry distribution chart, Fangzhou ranks #585 out of 631 companies in the Healthcare Providers & Services industry, placing it in the top 92.7%.
Is Fangzhou's Gross Margin % too high?
Fangzhou's current Gross Margin % of 14.32% is 17% below median its 10-year median of 17.27. Over the past 10 years, this metric has ranged from a low of 12.49 to a high of 20.02. The Healthcare Providers & Services industry median Gross Margin % is 40.25. Fangzhou's value of 14.32% is 64.4% below this industry median. Based on the distribution chart, Fangzhou ranks #585 out of 631 companies in the Healthcare Providers & Services industry, which is in the bottom quartile relative to peers. Overall, Fangzhou has a GF Score™ of 11/100, reflecting its overall financial health beyond just this single metric.
How does Fangzhou's Gross Margin % compare to competitors?
According to the Healthcare Providers & Services industry distribution chart, Fangzhou ranks #585 out of 631 companies for Gross Margin %. This places Fangzhou in the lower half of its industry. The industry median Gross Margin % is 40.25. Fangzhou's value of 14.32% is 64.4% below this benchmark. Historically, Fangzhou's own Gross Margin % has ranged from 12.49 to 20.02 over the past decade. While the company's 10-year median is 17.27 vs. the industry median of 40.25, Fangzhou 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 Healthcare Providers & Services company?
The median Gross Margin % among Healthcare Providers & Services companies is 40.25, based on 631 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. Fangzhou's current Gross Margin % of 14.32% is 64.4% 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 Fangzhou and its competitors. For the Healthcare Providers & Services industry, the median Gross Margin % is 40.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fangzhou's current Gross Margin % is 14.32%, which is 17% below median its own 10-year median of 17.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fangzhou stock overvalued right now?
Fangzhou (HKSE:06086) has a current Gross Margin % of 14.32%. The current Gross Margin % is 14.32%, which is 17% below median its 10-year median of 17.27 and 64.4% below the Healthcare Providers & Services industry median of 40.25. Fangzhou's overall GF Score™ is 11/100 with 3 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 Fangzhou (HKSE:06086), the current Gross Margin % is 14.32% 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.

Fangzhou Business Description

Address 4th Street, Floor 1-2, Building S, Kehui Jingu, No. 99, Science Avenue, Luogang Science City, Huangpu District, Guangdong Province, Guangzhou, CHN
Fangzhou Inc is a online chronic disease management platform in China. It has focus on chronic disease management to address the needs of patients with chronic diseases, such as hypertension, cardiovascular and respiratory chronic diseases. The company provide comprehensive medical services and online retail pharmacy services through Jianke Platform. The principal segment of the group are online retail pharmacy services, comprehensive medical services, Wholesale and customized content and marketing solutions. Key revenue is generated from Online retail pharmacy services.
11GF Score

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