Kwang Ming Silk Mill Co (ROCO:4420) Gross Margin %: 4.67% (As of Dec. 2025) — 45% Below Median

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ROCO:4420 Kwang Ming Silk Mill Co Ltd ROCO:4420
64 GF Score
Price NT$35.60
GF Value NT$75.13
Valuation Significantly Undervalued
! 2 Warning Signs
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What is Kwang Ming Silk Mill Co Gross Margin %?

Kwang Ming Silk Mill Co ROCO:4420 -1.11% 64 Gross Margin % is 4.67% as of Dec. 2025, which is 45% below its 10-year median of 8.50. GuruFocus rates ROCO:4420 with a GF Score™ of 64/100 and a GF Value™ of NT$75.13 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 1,027 Manufacturing - Apparel & Accessories companies, Kwang Ming Silk Mill Co ranks worse than 93.38% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Kwang Ming Silk Mill Co's Gross Profit for the three months ended in Dec. 2025 was NT$12 Mil. Kwang Ming Silk Mill Co's Revenue for the three months ended in Dec. 2025 was NT$256 Mil. Therefore, Kwang Ming Silk Mill Co's Gross Margin % for the quarter that ended in Dec. 2025 was 4.67%.


The historical rank and industry rank for Kwang Ming Silk Mill Co's Gross Margin % or its related term are showing as below:

ROCO:4420' s Gross Margin % Range Over the Past 10 Years
Min: -1.05   Med: 8.5   Max: 19.7
Current: 3.34


During the past 13 years, the highest Gross Margin % of Kwang Ming Silk Mill Co was 19.70%. The lowest was -1.05%. And the median was 8.50%.

ROCO:4420's Gross Margin % is ranked worse than
93.38% of 1027 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 28.53 vs ROCO:4420: 3.34

Kwang Ming Silk Mill Co had a gross margin of 4.67% for the quarter that ended in Dec. 2025 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Kwang Ming Silk Mill Co was 0.00% per year.


Kwang Ming Silk Mill Co  (ROCO:4420) 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

Kwang Ming Silk Mill Co had a gross margin of 4.67% 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.


Kwang Ming Silk Mill Co Gross Margin % Related Terms


Kwang Ming Silk Mill Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Kwang Ming Silk Mill 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.

Kwang Ming Silk Mill Co Gross Margin % Chart

Kwang Ming Silk Mill 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 14.06 19.70 -1.05 0.06 3.34

Kwang Ming Silk Mill Co Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 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 1.69 3.25 2.77 2.69 4.67

Kwang Ming Silk Mill Co Gross Margin % Competitor Comparison

For the Textile Manufacturing subindustry, Kwang Ming Silk Mill 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.


Kwang Ming Silk Mill Co Gross Margin % vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Kwang Ming Silk Mill Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Kwang Ming Silk Mill Co's Gross Margin % falls into.


ROCO:4420
64GF Score
Kwang Ming Silk Mill Co Ltd ROCO:4420
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kwang Ming Silk Mill Co Gross Margin % Calculation

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

Kwang Ming Silk Mill 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 )
=34.3 / 1025.251
=(Revenue - Cost of Goods Sold) / Revenue
=(1025.251 - 990.999) / 1025.251
=3.34 %

Kwang Ming Silk Mill 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 / 255.788
=(Revenue - Cost of Goods Sold) / Revenue
=(255.788 - 243.836) / 255.788
=4.67 %

* 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 4.67% mean?
Kwang Ming Silk Mill Co (ROCO:4420) has a Gross Margin % of 4.67% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Kwang Ming Silk Mill Co and its competitors. This is 45% below median its historical median of 8.50. According to the industry distribution chart, Kwang Ming Silk Mill Co ranks #959 out of 1027 companies in the Manufacturing - Apparel & Accessories industry, placing it in the top 93.4%.
Is Kwang Ming Silk Mill Co's Gross Margin % too high?
Kwang Ming Silk Mill Co's current Gross Margin % of 4.67% is 45% below median its 10-year median of 8.50. The Manufacturing - Apparel & Accessories industry median Gross Margin % is 28.53. Kwang Ming Silk Mill Co's value of 4.67% is 83.6% below this industry median. Based on the distribution chart, Kwang Ming Silk Mill Co ranks #959 out of 1027 companies in the Manufacturing - Apparel & Accessories industry, which is in the bottom quartile relative to peers. Overall, Kwang Ming Silk Mill Co has a GF Score™ of 64/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Kwang Ming Silk Mill Co's Gross Margin % compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, Kwang Ming Silk Mill Co ranks #959 out of 1027 companies for Gross Margin %. This places Kwang Ming Silk Mill Co in the lower half of its industry. The industry median Gross Margin % is 28.53. Kwang Ming Silk Mill Co's value of 4.67% is 83.6% below this benchmark. While the company's 10-year median is 8.50 vs. the industry median of 28.53, Kwang Ming Silk Mill Co 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 Manufacturing - Apparel & Accessories company?
The median Gross Margin % among Manufacturing - Apparel & Accessories companies is 28.53, based on 1,027 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. Kwang Ming Silk Mill Co's current Gross Margin % of 4.67% is 83.6% 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 Kwang Ming Silk Mill Co and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Gross Margin % is 28.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kwang Ming Silk Mill Co's current Gross Margin % is 4.67%, which is 45% below median its own 10-year median of 8.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kwang Ming Silk Mill Co stock overvalued right now?
Based on GuruFocus' analysis, Kwang Ming Silk Mill Co (ROCO:4420) is currently considered Significantly Undervalued. The stock's GF Value™ is NT$75.13, compared to a current price of NT$35.60 — trading 52.6% below its estimated fair value. The current Gross Margin % is 4.67%, which is 45% below median its 10-year median of 8.50 and 83.6% below the Manufacturing - Apparel & Accessories industry median of 28.53. Kwang Ming Silk Mill Co's overall GF Score™ is 64/100 with 2 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 Kwang Ming Silk Mill Co (ROCO:4420), the current Gross Margin % is 4.67% 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 Kwang Ming Silk Mill Co (ROCO:4420) Overvalued in 2026?

Based on GuruFocus' analysis, Kwang Ming Silk Mill Co stock appears to be undervalued. The current stock price of NT$35.60 is trading 52.6% below its estimated GF Value™ of NT$75.13. GuruFocus considers Kwang Ming Silk Mill Co to be Significantly Undervalued.

Key valuation signals for ROCO:4420:

  • Gross Margin %: 4.67% (45% below median its 10-year median of 8.50)
  • GF Value™: NT$75.13 vs. price of NT$35.60 (52.6% below fair value)
  • GF Score™: 64/100 with 2 warning signs
  • Industry Position: 83.6% below the Manufacturing - Apparel & Accessories median (#959 of 1027)

No single metric tells the full story. See the ROCO:4420 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kwang Ming Silk Mill Co Business Description

Address No. 607, Ruiguang Road, 7th Floor, Neihu District, Taipei City, TWN
Kwang Ming Silk Mill Co Ltd is mainly engaged in the textile industry, including the manufacture of man-made fibers, dyeing and weaving of fabrics, and the purchase and sale of raw materials, supplies, and finished goods related to fabrics. The Company is also involved in real estate leasing, as well as industrial factory development and rental. It operates through two reportable segments: the Fiber segment, which generates the maximum revenue and is engaged in the manufacture and trading of textured yarn, and the Real Estate Development segment, which focuses on housing, commercial buildings, and factory development and rental.
64GF Score

Get the complete analysis for ROCO:4420

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

NT$35.60
Price
NT$75.13
GF Value