Kimou Environmental Holding (HKSE:06805) Gross Margin %: 56.71% (As of Dec. 2025) — 21% Below Median

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HKSE:06805 Kimou Environmental Holding Ltd HKSE:06805
72 GF Score
Price HK$3.16
GF Value HK$1.71
Valuation Significantly Overvalued
! 9 Warning Signs
View Full Analysis

What is Kimou Environmental Holding Gross Margin %?

Kimou Environmental Holding HKSE:06805 72 Gross Margin % is 56.71% as of Dec. 2025, which is 21% below its 10-year median of 71.52. GuruFocus rates HKSE:06805 with a GF Score™ of 72/100 and a GF Value™ of HK$1.71 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 232 Waste Management companies, Kimou Environmental Holding ranks better than 87.93% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Kimou Environmental Holding's Gross Profit for the six months ended in Dec. 2025 was HK$584 Mil. Kimou Environmental Holding's Revenue for the six months ended in Dec. 2025 was HK$1,029 Mil. Therefore, Kimou Environmental Holding's Gross Margin % for the quarter that ended in Dec. 2025 was 56.71%.

Warning Sign:

Kimou Environmental Holding Ltd gross margin has been in long-term decline. The average rate of decline per year is -3.2%.


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

HKSE:06805' s Gross Margin % Range Over the Past 10 Years
Min: 59.01   Med: 71.52   Max: 88.55
Current: 59.01


During the past 10 years, the highest Gross Margin % of Kimou Environmental Holding was 88.55%. The lowest was 59.01%. And the median was 71.52%.

HKSE:06805's Gross Margin % is ranked better than
87.93% of 232 companies
in the Waste Management industry
Industry Median: 27.725 vs HKSE:06805: 59.01

Kimou Environmental Holding had a gross margin of 56.71% for the quarter that ended in Dec. 2025 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Kimou Environmental Holding was -3.20% per year.


Kimou Environmental Holding  (HKSE:06805) 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

Kimou Environmental Holding had a gross margin of 56.71% for the quarter that ended in Dec. 2025 => Durable 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.


Kimou Environmental Holding Gross Margin % Related Terms


Kimou Environmental Holding Gross Margin % Historical Data

* Premium members only.

The historical data trend for Kimou Environmental Holding'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.

Kimou Environmental Holding Gross Margin % Chart

Kimou Environmental Holding Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 66.67 68.91 69.29 65.98 59.02

Kimou Environmental Holding Semi-Annual Data
Dec16 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 68.86 66.32 65.67 61.87 56.71

HKSE:06805 vs WM, RSG, WCN: Gross Margin % Comparison

For the Waste Management subindustry, Kimou Environmental Holding'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.


Kimou Environmental Holding Gross Margin % vs Waste Management Industry

For the Waste Management industry and Industrials sector, Kimou Environmental Holding's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Kimou Environmental Holding's Gross Margin % falls into.


HKSE:06805
72GF Score
Kimou Environmental Holding Ltd HKSE:06805
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kimou Environmental Holding Gross Margin % Calculation

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

Kimou Environmental Holding'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 )
=1099.6 / 1863.102
=(Revenue - Cost of Goods Sold) / Revenue
=(1863.102 - 763.501) / 1863.102
=59.02 %

Kimou Environmental Holding'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 )
=583.8 / 1029.34
=(Revenue - Cost of Goods Sold) / Revenue
=(1029.34 - 445.581) / 1029.34
=56.71 %

* 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 56.71% mean?
Kimou Environmental Holding (HKSE:06805) has a Gross Margin % of 56.71% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Kimou Environmental Holding and its competitors. This is 21% below median its historical median of 71.52. Over the past decade, Kimou Environmental Holding's Gross Margin % has ranged from 59.01 to 88.55. According to the industry distribution chart, Kimou Environmental Holding ranks #28 out of 232 companies in the Waste Management industry, placing it in the top 12.1%.
Is Kimou Environmental Holding's Gross Margin % too high?
Kimou Environmental Holding's current Gross Margin % of 56.71% is 21% below median its 10-year median of 71.52. Over the past 10 years, this metric has ranged from a low of 59.01 to a high of 88.55. The Waste Management industry median Gross Margin % is 27.73. Kimou Environmental Holding's value of 56.71% is 104.5% above this industry median. Based on the distribution chart, Kimou Environmental Holding ranks #28 out of 232 companies in the Waste Management industry, which is in the top quartile — a strong position relative to peers. Overall, Kimou Environmental Holding has a GF Score™ of 72/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kimou Environmental Holding's Gross Margin % compare to WM and RSG?
According to the Waste Management industry distribution chart, Kimou Environmental Holding ranks #28 out of 232 companies for Gross Margin %. This places Kimou Environmental Holding in the top 12% of its industry — outperforming the majority of peers. The industry median Gross Margin % is 27.73. Kimou Environmental Holding's value of 56.71% is 104.5% above this benchmark. Historically, Kimou Environmental Holding's own Gross Margin % has ranged from 59.01 to 88.55 over the past decade. While the company's 10-year median is 71.52 vs. the industry median of 27.73, Kimou Environmental Holding has consistently been above 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 Waste Management company?
The median Gross Margin % among Waste Management companies is 27.73, based on 232 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. Kimou Environmental Holding's current Gross Margin % of 56.71% is 104.5% above 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 Kimou Environmental Holding and its competitors. For the Waste Management industry, the median Gross Margin % is 27.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kimou Environmental Holding's current Gross Margin % is 56.71%, which is 21% below median its own 10-year median of 71.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kimou Environmental Holding stock overvalued right now?
Based on GuruFocus' analysis, Kimou Environmental Holding (HKSE:06805) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$1.71, compared to a current price of HK$3.16 — trading 84.8% above its estimated fair value. The current Gross Margin % is 56.71%, which is 21% below median its 10-year median of 71.52 and 104.5% above the Waste Management industry median of 27.73. Kimou Environmental Holding's overall GF Score™ is 72/100 with 9 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 Kimou Environmental Holding (HKSE:06805), the current Gross Margin % is 56.71% 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 Kimou Environmental Holding (HKSE:06805) Overvalued in 2026?

Based on GuruFocus' analysis, Kimou Environmental Holding stock appears to be overvalued. The current stock price of HK$3.16 is trading 84.8% above its estimated GF Value™ of HK$1.71. GuruFocus considers Kimou Environmental Holding to be Significantly Overvalued.

Key valuation signals for HKSE:06805:

  • Gross Margin %: 56.71% (21% below median its 10-year median of 71.52)
  • GF Value™: HK$1.71 vs. price of HK$3.16 (84.8% above fair value)
  • GF Score™: 72/100 with 9 warning signs
  • Industry Position: 104.5% above the Waste Management median (#28 of 232)

No single metric tells the full story. See the HKSE:06805 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kimou Environmental Holding Business Description

Address Longhua Road, Longxi Street, Boluo County, Guangdong Province, Huizhou, CHN
Kimou Environmental Holding Ltd mainly involves the provision of factory premises and centralized wastewater treatment services. The company's operating segment includes Rental and facilities usage; Wastewater treatment and utilities; and Sales of goods and ancillary business. The company generates maximum revenue from the Sales of goods and ancillary business segment. Rental and facilities usage segment conducts industrial park property development and management business; Wastewater treatment and utilities segment operates electroplating wastewater treatment plants and provides services of utilities; and Sales of goods and ancillary business segment includes sales of chemicals and others. Geographically, it derives revenue from China.
72GF Score

Get the complete analysis for HKSE:06805

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

HK$3.16
Price
HK$1.71
GF Value