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Hunan Hualian China Industry Co (SZSE:001216) Gross Margin % : 33.67% (As of Sep. 2024)


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What is Hunan Hualian China Industry Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Hunan Hualian China Industry Co's Gross Profit for the three months ended in Sep. 2024 was ¥135 Mil. Hunan Hualian China Industry Co's Revenue for the three months ended in Sep. 2024 was ¥402 Mil. Therefore, Hunan Hualian China Industry Co's Gross Margin % for the quarter that ended in Sep. 2024 was 33.67%.


The historical rank and industry rank for Hunan Hualian China Industry Co's Gross Margin % or its related term are showing as below:

SZSE:001216' s Gross Margin % Range Over the Past 10 Years
Min: 29.96   Med: 32.32   Max: 37.39
Current: 32.73


During the past 10 years, the highest Gross Margin % of Hunan Hualian China Industry Co was 37.39%. The lowest was 29.96%. And the median was 32.32%.

SZSE:001216's Gross Margin % is ranked better than
60.82% of 416 companies
in the Furnishings, Fixtures & Appliances industry
Industry Median: 28.695 vs SZSE:001216: 32.73

Hunan Hualian China Industry Co had a gross margin of 33.67% for the quarter that ended in Sep. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Hunan Hualian China Industry Co was 0.90% per year.


Hunan Hualian China Industry Co Gross Margin % Historical Data

The historical data trend for Hunan Hualian China Industry 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.

* Premium members only.

Hunan Hualian China Industry Co Gross Margin % Chart

Hunan Hualian China Industry Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 31.16 32.87 29.96 32.42 32.36

Hunan Hualian China Industry Co Quarterly Data
Dec18 Dec19 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 34.89 29.17 32.67 35.48 33.67

Competitive Comparison of Hunan Hualian China Industry Co's Gross Margin %

For the Furnishings, Fixtures & Appliances subindustry, Hunan Hualian China Industry 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.


Hunan Hualian China Industry Co's Gross Margin % Distribution in the Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Hunan Hualian China Industry Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Hunan Hualian China Industry Co's Gross Margin % falls into.



Hunan Hualian China Industry Co Gross Margin % Calculation

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

Hunan Hualian China Industry Co's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )=Gross Profit (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=398.5 / 1231.54
=(Revenue - Cost of Goods Sold) / Revenue
=(1231.54 - 832.999) / 1231.54
=32.36 %

Hunan Hualian China Industry Co's Gross Margin for the quarter that ended in Sep. 2024 is calculated as


Gross Margin % (Q: Sep. 2024 )=Gross Profit (Q: Sep. 2024 ) / Revenue (Q: Sep. 2024 )
=135.3 / 401.75
=(Revenue - Cost of Goods Sold) / Revenue
=(401.75 - 266.484) / 401.75
=33.67 %

* 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.


Hunan Hualian China Industry Co  (SZSE:001216) 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

Hunan Hualian China Industry Co had a gross margin of 33.67% for the quarter that ended in Sep. 2024 => 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.


Hunan Hualian China Industry Co Gross Margin % Related Terms

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Hunan Hualian China Industry Co Business Description

Traded in Other Exchanges
N/A
Address
No. 3, Wanyi Road, Xishan Office, Hunan Province, Liling City, CHN, 412205
Hunan Hualian China Industry Co Ltd is engaged in the research and development, design, production and sales of ceramic products. The company's products are mainly daily-use ceramics such as colored glaze ceramics and underglaze multicolored ceramics.

Hunan Hualian China Industry Co Headlines

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