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Bar Pacific Group Holdings (HKSE:08432) Gross Margin % : 40.44% (As of Sep. 2023)


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What is Bar Pacific Group Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Bar Pacific Group Holdings's Gross Profit for the three months ended in Sep. 2023 was HK$23.2 Mil. Bar Pacific Group Holdings's Revenue for the three months ended in Sep. 2023 was HK$57.3 Mil. Therefore, Bar Pacific Group Holdings's Gross Margin % for the quarter that ended in Sep. 2023 was 40.44%.

Warning Sign:

Bar Pacific Group Holdings Ltd gross margin has been in long-term decline. The average rate of decline per year is -6.4%.


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

HKSE:08432' s Gross Margin % Range Over the Past 10 Years
Min: 19.13   Med: 47.82   Max: 77.46
Current: 41.3


During the past 9 years, the highest Gross Margin % of Bar Pacific Group Holdings was 77.46%. The lowest was 19.13%. And the median was 47.82%.

HKSE:08432's Gross Margin % is ranked worse than
60.23% of 342 companies
in the Restaurants industry
Industry Median: 47.36 vs HKSE:08432: 41.30

Bar Pacific Group Holdings had a gross margin of 40.44% for the quarter that ended in Sep. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Bar Pacific Group Holdings was -6.40% per year.


Bar Pacific Group Holdings Gross Margin % Historical Data

The historical data trend for Bar Pacific Group Holdings'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.

* Premium members only.

Bar Pacific Group Holdings Gross Margin % Chart

Bar Pacific Group Holdings Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only 47.82 49.94 19.13 36.37 41.44

Bar Pacific Group Holdings Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
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 42.89 43.90 40.76 40.10 40.44

Competitive Comparison of Bar Pacific Group Holdings's Gross Margin %

For the Restaurants subindustry, Bar Pacific Group Holdings'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.


Bar Pacific Group Holdings's Gross Margin % Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Bar Pacific Group Holdings's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Bar Pacific Group Holdings's Gross Margin % falls into.



Bar Pacific Group Holdings Gross Margin % Calculation

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

Bar Pacific Group Holdings's Gross Margin for the fiscal year that ended in Mar. 2023 is calculated as

Gross Margin % (A: Mar. 2023 )=Gross Profit (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=72.5 / 174.933
=(Revenue - Cost of Goods Sold) / Revenue
=(174.933 - 102.437) / 174.933
=41.44 %

Bar Pacific Group Holdings's Gross Margin for the quarter that ended in Sep. 2023 is calculated as


Gross Margin % (Q: Sep. 2023 )=Gross Profit (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=23.2 / 57.337
=(Revenue - Cost of Goods Sold) / Revenue
=(57.337 - 34.151) / 57.337
=40.44 %

* 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.


Bar Pacific Group Holdings  (HKSE:08432) 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

Bar Pacific Group Holdings had a gross margin of 40.44% for the quarter that ended in Sep. 2023 => 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.


Bar Pacific Group Holdings Gross Margin % Related Terms

Thank you for viewing the detailed overview of Bar Pacific Group Holdings's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Bar Pacific Group Holdings (HKSE:08432) Business Description

Traded in Other Exchanges
N/A
Address
2G Hok Yuen Street, Room D2, 11th Floor, Phase 2, Hang Fung Industrial Building, Hunghom, Kowloon, Hong Kong, HKG
Bar Pacific Group Holdings Ltd, along with its subsidiaries, is engaged in the operation of a chain of bars in Hong Kong. The company operates its restaurants under the brand's Bar Pacific and Pacific. The company operates in the business segment Operations of bars and Property investment principally in Hong Kong. The group derives a majority of its revenue from the Operation of the bars segment which involves the sales of beverages and light refreshments in bars in Hong Kong. the company also provides venues for private parties, business events, and shooting as well.
Executives
Chan Tsz Tung 2101 Beneficial owner
Chan Tsz Kiu Teresa 2101 Beneficial owner
Chan Ching Mandy 2101 Beneficial owner
Chan Wai 2101 Beneficial owner
Tse Ying Sin Eva 2101 Beneficial owner

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