Xinjiang East Universe (Group) Gas Co (SHSE:603706) Gross Margin %: 31.94% (As of Mar. 2026) — 10% Above Median

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SHSE:603706 Xinjiang East Universe (Group) Gas Co Ltd SHSE:603706
91 GF Score
Price ¥18.29
GF Value ¥18.86
Valuation Fairly Valued
! 1 Warning Sign
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What is Xinjiang East Universe (Group) Gas Co Gross Margin %?

Xinjiang East Universe (Group) Gas Co SHSE:603706 +0.72% 91 Gross Margin % is 31.94% as of Mar. 2026, which is 10% above its 10-year median of 29.04. GuruFocus rates SHSE:603706 with a GF Score™ of 91/100 and a GF Value™ of ¥18.86 (Fairly Valued). The stock has 1 warning sign investors should review. Among 490 Utilities - Regulated companies, Xinjiang East Universe (Group) Gas Co ranks worse than 50.2% on this metric.

Gross Margin % is calculated as gross profit divided by its revenue. Xinjiang East Universe (Group) Gas Co's Gross Profit for the three months ended in Mar. 2026 was ¥155 Mil. Xinjiang East Universe (Group) Gas Co's Revenue for the three months ended in Mar. 2026 was ¥485 Mil. Therefore, Xinjiang East Universe (Group) Gas Co's Gross Margin % for the quarter that ended in Mar. 2026 was 31.94%.


The historical rank and industry rank for Xinjiang East Universe (Group) Gas Co's Gross Margin % or its related term are showing as below:

SHSE:603706' s Gross Margin % Range Over the Past 10 Years
Min: 24.61   Med: 29.04   Max: 39.25
Current: 30.63


During the past 12 years, the highest Gross Margin % of Xinjiang East Universe (Group) Gas Co was 39.25%. The lowest was 24.61%. And the median was 29.04%.

SHSE:603706's Gross Margin % is ranked worse than
50.2% of 490 companies
in the Utilities - Regulated industry
Industry Median: 30.755 vs SHSE:603706: 30.63

Xinjiang East Universe (Group) Gas Co had a gross margin of 31.94% for the quarter that ended in Mar. 2026 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Xinjiang East Universe (Group) Gas Co was 1.80% per year.


Xinjiang East Universe (Group) Gas Co  (SHSE:603706) 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

Xinjiang East Universe (Group) Gas Co had a gross margin of 31.94% for the quarter that ended in Mar. 2026 => 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.


Xinjiang East Universe (Group) Gas Co Gross Margin % Related Terms


Xinjiang East Universe (Group) Gas Co Gross Margin % Historical Data

* Premium members only.

The historical data trend for Xinjiang East Universe (Group) Gas 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.

Xinjiang East Universe (Group) Gas Co Gross Margin % Chart

Xinjiang East Universe (Group) Gas 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 25.86 25.22 28.85 24.61 29.23

Xinjiang East Universe (Group) Gas Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 28.01 31.44 20.55 31.96 31.94

SHSE:603706 vs ATO, NI: Gross Margin % Comparison

For the Utilities - Regulated Gas subindustry, Xinjiang East Universe (Group) Gas 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.


Xinjiang East Universe (Group) Gas Co Gross Margin % vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Xinjiang East Universe (Group) Gas Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Xinjiang East Universe (Group) Gas Co's Gross Margin % falls into.


SHSE:603706
91GF Score
Xinjiang East Universe (Group) Gas Co Ltd SHSE:603706
Gross Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Xinjiang East Universe (Group) Gas Co Gross Margin % Calculation

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

Xinjiang East Universe (Group) Gas 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 )
=389.2 / 1331.416
=(Revenue - Cost of Goods Sold) / Revenue
=(1331.416 - 942.21) / 1331.416
=29.23 %

Xinjiang East Universe (Group) Gas Co's Gross Margin for the quarter that ended in Mar. 2026 is calculated as


Gross Margin % (Q: Mar. 2026 )=Gross Profit (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=154.8 / 484.703
=(Revenue - Cost of Goods Sold) / Revenue
=(484.703 - 329.913) / 484.703
=31.94 %

* 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 31.94% mean?
Xinjiang East Universe (Group) Gas Co (SHSE:603706) has a Gross Margin % of 31.94% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Xinjiang East Universe (Group) Gas Co and its competitors. This is 10% above median its historical median of 29.04. Over the past decade, Xinjiang East Universe (Group) Gas Co's Gross Margin % has ranged from 24.61 to 39.25. According to the industry distribution chart, Xinjiang East Universe (Group) Gas Co ranks #246 out of 490 companies in the Utilities - Regulated industry, placing it in the top 50.2%.
Is Xinjiang East Universe (Group) Gas Co's Gross Margin % too high?
Xinjiang East Universe (Group) Gas Co's current Gross Margin % of 31.94% is 10% above median its 10-year median of 29.04. Over the past 10 years, this metric has ranged from a low of 24.61 to a high of 39.25. The Utilities - Regulated industry median Gross Margin % is 30.76. Xinjiang East Universe (Group) Gas Co's value of 31.94% is 3.9% above this industry median. Based on the distribution chart, Xinjiang East Universe (Group) Gas Co ranks #246 out of 490 companies in the Utilities - Regulated industry, which is below the industry midpoint. Overall, Xinjiang East Universe (Group) Gas Co has a GF Score™ of 91/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Xinjiang East Universe (Group) Gas Co's Gross Margin % compare to ATO and NI?
According to the Utilities - Regulated industry distribution chart, Xinjiang East Universe (Group) Gas Co ranks #246 out of 490 companies for Gross Margin %. This places Xinjiang East Universe (Group) Gas Co in the lower half of its industry. The industry median Gross Margin % is 30.76. Xinjiang East Universe (Group) Gas Co's value of 31.94% is 3.9% above this benchmark. Historically, Xinjiang East Universe (Group) Gas Co's own Gross Margin % has ranged from 24.61 to 39.25 over the past decade. While the company's 10-year median is 29.04 vs. the industry median of 30.76, Xinjiang East Universe (Group) Gas 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 an Utilities - Regulated company?
The median Gross Margin % among Utilities - Regulated companies is 30.76, based on 490 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. Xinjiang East Universe (Group) Gas Co's current Gross Margin % of 31.94% is 3.9% 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 Xinjiang East Universe (Group) Gas Co and its competitors. For the Utilities - Regulated industry, the median Gross Margin % is 30.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Xinjiang East Universe (Group) Gas Co's current Gross Margin % is 31.94%, which is 10% above median its own 10-year median of 29.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Xinjiang East Universe (Group) Gas Co stock overvalued right now?
Based on GuruFocus' analysis, Xinjiang East Universe (Group) Gas Co (SHSE:603706) is currently considered Fairly Valued. The stock's GF Value™ is ¥18.86, compared to a current price of ¥18.29 — trading 3% below its estimated fair value. The current Gross Margin % is 31.94%, which is 10% above median its 10-year median of 29.04 and 3.9% above the Utilities - Regulated industry median of 30.76. Xinjiang East Universe (Group) Gas Co's overall GF Score™ is 91/100 with 1 warning sign 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 Xinjiang East Universe (Group) Gas Co (SHSE:603706), the current Gross Margin % is 31.94% as of Mar. 2026. 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 Xinjiang East Universe (Group) Gas Co (SHSE:603706) Overvalued in 2026?

Based on GuruFocus' analysis, Xinjiang East Universe (Group) Gas Co stock appears to be undervalued. The current stock price of ¥18.29 is trading 3% below its estimated GF Value™ of ¥18.86. GuruFocus considers Xinjiang East Universe (Group) Gas Co to be Fairly Valued.

Key valuation signals for SHSE:603706:

  • Gross Margin %: 31.94% (10% above median its 10-year median of 29.04)
  • GF Value™: ¥18.86 vs. price of ¥18.29 (3% below fair value)
  • GF Score™: 91/100 with 1 warning sign
  • Industry Position: 3.9% above the Utilities - Regulated median (#246 of 490)

No single metric tells the full story. See the SHSE:603706 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Xinjiang East Universe (Group) Gas Co Business Description

Address No. 198 Yan'an North Road, 24th Floor, Changji Prefecture, Changji City, CHN, 831100
Xinjiang East Universe (Group) Gas Co Ltd offers gas supplying services. It offers car gas products, residents living gas products, industrial gas products, commercial gas products and other gas equipment installation services.
91GF Score

Get the complete analysis for SHSE:603706

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

¥18.29
Price
¥18.86
GF Value