Hong Wei (Asia) Holdings Co (HKSE:08191) Gross Margin %: 24.37% (As of Dec. 2025) — 29% Above Median

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HKSE:08191 Hong Wei (Asia) Holdings Co Ltd HKSE:08191
32 GF Score
Price HK$0.11
GF Value HK$0.03
Valuation Significantly Overvalued
! 10 Warning Signs
View Full Analysis

What is Hong Wei (Asia) Holdings Co Gross Margin %?

Hong Wei (Asia) Holdings Co HKSE:08191 32 Gross Margin % is 24.37% as of Dec. 2025, which is 29% above its 10-year median of 18.91. GuruFocus rates HKSE:08191 with a GF Score™ of 32/100 and a GF Value™ of HK$0.03 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 278 Forest Products companies, Hong Wei (Asia) Holdings Co ranks worse than 90.65% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Hong Wei (Asia) Holdings Co's Gross Profit for the six months ended in Dec. 2025 was HK$12.6 Mil. Hong Wei (Asia) Holdings Co's Revenue for the six months ended in Dec. 2025 was HK$51.8 Mil. Therefore, Hong Wei (Asia) Holdings Co's Gross Margin % for the quarter that ended in Dec. 2025 was 24.37%.

Warning Sign:

Hong Wei (Asia) Holdings Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -25.7%.


The historical rank and industry rank for Hong Wei (Asia) Holdings Co's Gross Margin % or its related term are showing as below:

HKSE:08191' s Gross Margin % Range Over the Past 10 Years
Min: 2.97   Med: 18.91   Max: 24.48
Current: 2.97


During the past 13 years, the highest Gross Margin % of Hong Wei (Asia) Holdings Co was 24.48%. The lowest was 2.97%. And the median was 18.91%.

HKSE:08191's Gross Margin % is ranked worse than
90.65% of 278 companies
in the Forest Products industry
Industry Median: 18.895 vs HKSE:08191: 2.97

Hong Wei (Asia) Holdings Co had a gross margin of 24.37% for the quarter that ended in Dec. 2025 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Hong Wei (Asia) Holdings Co was -25.70% per year.


Hong Wei (Asia) Holdings Co  (HKSE:08191) 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

Hong Wei (Asia) Holdings Co had a gross margin of 24.37% 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.


Hong Wei (Asia) Holdings Co Gross Margin % Related Terms


Hong Wei (Asia) Holdings Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Hong Wei (Asia) Holdings 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.

Hong Wei (Asia) Holdings Co Gross Margin % Chart

Hong Wei (Asia) Holdings Co 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 18.85 18.97 17.43 10.79 2.97

Hong Wei (Asia) Holdings Co Semi-Annual Data
Jun16 Dec16 Jun17 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 Premium Member Only Premium Member Only 16.08 17.13 3.45 -19.26 24.37

HKSE:08191 vs SSD, UFPI, BCC: Gross Margin % Comparison

For the Lumber & Wood Production subindustry, Hong Wei (Asia) Holdings 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.


Hong Wei (Asia) Holdings Co Gross Margin % vs Forest Products Industry

For the Forest Products industry and Basic Materials sector, Hong Wei (Asia) Holdings Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Hong Wei (Asia) Holdings Co's Gross Margin % falls into.


HKSE:08191
32GF Score
Hong Wei (Asia) Holdings Co Ltd HKSE:08191
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Hong Wei (Asia) Holdings Co Gross Margin % Calculation

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

Hong Wei (Asia) Holdings 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 )
=3 / 101.686
=(Revenue - Cost of Goods Sold) / Revenue
=(101.686 - 98.671) / 101.686
=2.97 %

Hong Wei (Asia) Holdings 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 )
=12.6 / 51.799
=(Revenue - Cost of Goods Sold) / Revenue
=(51.799 - 39.175) / 51.799
=24.37 %

* 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 24.37% mean?
Hong Wei (Asia) Holdings Co (HKSE:08191) has a Gross Margin % of 24.37% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Hong Wei (Asia) Holdings Co and its competitors. This is 29% above median its historical median of 18.91. Over the past decade, Hong Wei (Asia) Holdings Co's Gross Margin % has ranged from 2.97 to 24.48. According to the industry distribution chart, Hong Wei (Asia) Holdings Co ranks #252 out of 278 companies in the Forest Products industry, placing it in the top 90.6%.
Is Hong Wei (Asia) Holdings Co's Gross Margin % too high?
Hong Wei (Asia) Holdings Co's current Gross Margin % of 24.37% is 29% above median its 10-year median of 18.91. Over the past 10 years, this metric has ranged from a low of 2.97 to a high of 24.48. The Forest Products industry median Gross Margin % is 18.90. Hong Wei (Asia) Holdings Co's value of 24.37% is 29% above this industry median. Based on the distribution chart, Hong Wei (Asia) Holdings Co ranks #252 out of 278 companies in the Forest Products industry, which is in the bottom quartile relative to peers. Overall, Hong Wei (Asia) Holdings Co has a GF Score™ of 32/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hong Wei (Asia) Holdings Co's Gross Margin % compare to SSD and UFPI?
According to the Forest Products industry distribution chart, Hong Wei (Asia) Holdings Co ranks #252 out of 278 companies for Gross Margin %. This places Hong Wei (Asia) Holdings Co in the lower half of its industry. The industry median Gross Margin % is 18.90. Hong Wei (Asia) Holdings Co's value of 24.37% is 29% above this benchmark. Historically, Hong Wei (Asia) Holdings Co's own Gross Margin % has ranged from 2.97 to 24.48 over the past decade. While the company's 10-year median is 18.91 vs. the industry median of 18.90, Hong Wei (Asia) Holdings Co 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 Forest Products company?
The median Gross Margin % among Forest Products companies is 18.90, based on 278 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. Hong Wei (Asia) Holdings Co's current Gross Margin % of 24.37% is 29% 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 Hong Wei (Asia) Holdings Co and its competitors. For the Forest Products industry, the median Gross Margin % is 18.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hong Wei (Asia) Holdings Co's current Gross Margin % is 24.37%, which is 29% above median its own 10-year median of 18.91. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hong Wei (Asia) Holdings Co stock overvalued right now?
Based on GuruFocus' analysis, Hong Wei (Asia) Holdings Co (HKSE:08191) is currently considered Significantly Overvalued. The stock's GF Value™ is HK$0.03, compared to a current price of HK$0.11 — trading 263.3% above its estimated fair value. The current Gross Margin % is 24.37%, which is 29% above median its 10-year median of 18.91 and 29% above the Forest Products industry median of 18.90. Hong Wei (Asia) Holdings Co's overall GF Score™ is 32/100 with 10 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 Hong Wei (Asia) Holdings Co (HKSE:08191), the current Gross Margin % is 24.37% 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 Hong Wei (Asia) Holdings Co (HKSE:08191) Overvalued in 2026?

Based on GuruFocus' analysis, Hong Wei (Asia) Holdings Co stock appears to be overvalued. The current stock price of HK$0.11 is trading 263.3% above its estimated GF Value™ of HK$0.03. GuruFocus considers Hong Wei (Asia) Holdings Co to be Significantly Overvalued.

Key valuation signals for HKSE:08191:

  • Gross Margin %: 24.37% (29% above median its 10-year median of 18.91)
  • GF Value™: HK$0.03 vs. price of HK$0.11 (263.3% above fair value)
  • GF Score™: 32/100 with 10 warning signs
  • Industry Position: 29% above the Forest Products median (#252 of 278)

No single metric tells the full story. See the HKSE:08191 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hong Wei (Asia) Holdings Co Business Description

Address 18 Harcourt Road, Tower 1, Admiralty Centre, Unit 603, 6th floor, Admiralty, Hong Kong, HKG
Hong Wei (Asia) Holdings Co Ltd is principally engaged in investment holding, manufacturing and selling of particleboards, and forestry business in the PRC. The Group is engaged in the manufacturing and sales of particleboards and the timber logging, plantation, and sales of timber woods and agricultural products in the PRC. Its segments include the Particleboards segment, which generates maximum revenue and is engaged in the manufacturing and selling of particleboards in the PRC, and the Forestry segment, which is engaged in timber logging, plantation, and sales of timber woods and agricultural products in the PRC. The Group's operations are located in the PRC, and all of its revenue is generated from the PRC.
32GF Score

Get the complete analysis for HKSE:08191

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

HK$0.11
Price
HK$0.03
GF Value