Central China New Life (HKSE:09983) Gross Margin %: 18.38% (As of Dec. 2025) — 31% Below Median

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HKSE:09983 Central China New Life Ltd HKSE:09983
68 GF Score
Price HK$0.32
GF Value HK$1.28
Valuation Possible Value Trap
! 6 Warning Signs
View Full Analysis

What is Central China New Life Gross Margin %?

Central China New Life HKSE:09983 +1.59% 68 Gross Margin % is 18.38% as of Dec. 2025, which is 31% below its 10-year median of 26.61. GuruFocus rates HKSE:09983 with a GF Score™ of 68/100 and a GF Value™ of HK$1.28 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 1,643 Real Estate companies, Central China New Life ranks worse than 76.38% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Central China New Life's Gross Profit for the six months ended in Dec. 2025 was HK$271 Mil. Central China New Life's Revenue for the six months ended in Dec. 2025 was HK$1,474 Mil. Therefore, Central China New Life's Gross Margin % for the quarter that ended in Dec. 2025 was 18.38%.

Warning Sign:

Central China New Life Ltd gross margin has been in long-term decline. The average rate of decline per year is -10.7%.


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

HKSE:09983' s Gross Margin % Range Over the Past 10 Years
Min: 19.64   Med: 26.61   Max: 33.14
Current: 19.64


During the past 9 years, the highest Gross Margin % of Central China New Life was 33.14%. The lowest was 19.64%. And the median was 26.61%.

HKSE:09983's Gross Margin % is ranked worse than
76.38% of 1643 companies
in the Real Estate industry
Industry Median: 36.36 vs HKSE:09983: 19.64

Central China New Life had a gross margin of 18.38% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Central China New Life was -10.70% per year.


Central China New Life  (HKSE:09983) 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

Central China New Life had a gross margin of 18.38% 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.


Central China New Life Gross Margin % Related Terms


Central China New Life Gross Margin % Historical Data

* Premium members only.

The historical data trend for Central China New Life'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.

Central China New Life Gross Margin % Chart

Central China New Life Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Gross Margin %
Get a 7-Day Free Trial Premium Member Only 32.88 33.14 26.61 21.70 19.65

Central China New Life Semi-Annual Data
Dec17 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 25.31 22.78 20.61 20.83 18.38

HKSE:09983 vs CBRE, BEKE, JLL: Gross Margin % Comparison

For the Real Estate Services subindustry, Central China New Life'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.


Central China New Life Gross Margin % vs Real Estate Industry

For the Real Estate industry and Real Estate sector, Central China New Life's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Central China New Life's Gross Margin % falls into.


HKSE:09983
68GF Score
Central China New Life Ltd HKSE:09983
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Central China New Life Gross Margin % Calculation

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

Central China New Life'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 )
=600.9 / 3058.377
=(Revenue - Cost of Goods Sold) / Revenue
=(3058.377 - 2457.463) / 3058.377
=19.65 %

Central China New Life'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 )
=271 / 1474.445
=(Revenue - Cost of Goods Sold) / Revenue
=(1474.445 - 1203.478) / 1474.445
=18.38 %

* 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 18.38% mean?
Central China New Life (HKSE:09983) has a Gross Margin % of 18.38% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Central China New Life and its competitors. This is 31% below median its historical median of 26.61. Over the past decade, Central China New Life's Gross Margin % has ranged from 19.64 to 33.14. According to the industry distribution chart, Central China New Life ranks #1255 out of 1643 companies in the Real Estate industry, placing it in the top 76.4%.
Is Central China New Life's Gross Margin % too high?
Central China New Life's current Gross Margin % of 18.38% is 31% below median its 10-year median of 26.61. Over the past 10 years, this metric has ranged from a low of 19.64 to a high of 33.14. The Real Estate industry median Gross Margin % is 36.36. Central China New Life's value of 18.38% is 49.4% below this industry median. Based on the distribution chart, Central China New Life ranks #1255 out of 1643 companies in the Real Estate industry, which is in the bottom quartile relative to peers. Overall, Central China New Life has a GF Score™ of 68/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Central China New Life's Gross Margin % compare to CBRE and BEKE?
According to the Real Estate industry distribution chart, Central China New Life ranks #1255 out of 1643 companies for Gross Margin %. This places Central China New Life in the lower half of its industry. The industry median Gross Margin % is 36.36. Central China New Life's value of 18.38% is 49.4% below this benchmark. Historically, Central China New Life's own Gross Margin % has ranged from 19.64 to 33.14 over the past decade. While the company's 10-year median is 26.61 vs. the industry median of 36.36, Central China New Life 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 Real Estate company?
The median Gross Margin % among Real Estate companies is 36.36, based on 1,643 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. Central China New Life's current Gross Margin % of 18.38% is 49.4% 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 Central China New Life and its competitors. For the Real Estate industry, the median Gross Margin % is 36.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Central China New Life's current Gross Margin % is 18.38%, which is 31% below median its own 10-year median of 26.61. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Central China New Life stock overvalued right now?
Based on GuruFocus' analysis, Central China New Life (HKSE:09983) is currently considered Possible Value Trap. The stock's GF Value™ is HK$1.28, compared to a current price of HK$0.32 — trading 75% below its estimated fair value. The current Gross Margin % is 18.38%, which is 31% below median its 10-year median of 26.61 and 49.4% below the Real Estate industry median of 36.36. Central China New Life's overall GF Score™ is 68/100 with 6 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 Central China New Life (HKSE:09983), the current Gross Margin % is 18.38% 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 Central China New Life (HKSE:09983) Overvalued in 2026?

Based on GuruFocus' analysis, Central China New Life stock appears to be undervalued. The current stock price of HK$0.32 is trading 75% below its estimated GF Value™ of HK$1.28. GuruFocus considers Central China New Life to be Possible Value Trap.

Key valuation signals for HKSE:09983:

  • Gross Margin %: 18.38% (31% below median its 10-year median of 26.61)
  • GF Value™: HK$1.28 vs. price of HK$0.32 (75% below fair value)
  • GF Score™: 68/100 with 6 warning signs
  • Industry Position: 49.4% below the Real Estate median (#1255 of 1643)

No single metric tells the full story. See the HKSE:09983 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Central China New Life Business Description

Address No. 19 Dirun Road, Room 411, 4th Floor, Building 2, Jianye Office Building, Zhengdong New District, Henan Province, Zhengzhou, CHN
Central China New Life Ltd is a property management company in central China with a geographical focus in Henan province. The revenue of the Group was generated from three main business lines: property management services; community value-added services; and value-added services to non-property owners. The company generates the majority of its revenue from property management services. The Group mainly operates its businesses in the PRC and earns substantially all of the revenue from customers in the PRC region.
68GF Score

Get the complete analysis for HKSE:09983

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

HK$0.32
Price
HK$1.28
GF Value