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Reservoir Link Energy Bhd (XKLS:0219) Gross Margin % : 21.75% (As of Dec. 2024)


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What is Reservoir Link Energy Bhd Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Reservoir Link Energy Bhd's Gross Profit for the three months ended in Dec. 2024 was RM7.5 Mil. Reservoir Link Energy Bhd's Revenue for the three months ended in Dec. 2024 was RM34.7 Mil. Therefore, Reservoir Link Energy Bhd's Gross Margin % for the quarter that ended in Dec. 2024 was 21.75%.

Warning Sign:

Reservoir Link Energy Bhd gross margin has been in long-term decline. The average rate of decline per year is -10.3%.


The historical rank and industry rank for Reservoir Link Energy Bhd's Gross Margin % or its related term are showing as below:

XKLS:0219' s Gross Margin % Range Over the Past 10 Years
Min: -3.63   Med: 23.9   Max: 30.86
Current: 17.35


During the past 8 years, the highest Gross Margin % of Reservoir Link Energy Bhd was 30.86%. The lowest was -3.63%. And the median was 23.90%.

XKLS:0219's Gross Margin % is ranked worse than
65.35% of 889 companies
in the Oil & Gas industry
Industry Median: 28.51 vs XKLS:0219: 17.35

Reservoir Link Energy Bhd had a gross margin of 21.75% for the quarter that ended in Dec. 2024 => Competition eroding margins

The 5-Year average Growth Rate of Gross Margin for Reservoir Link Energy Bhd was -10.30% per year.


Reservoir Link Energy Bhd Gross Margin % Historical Data

The historical data trend for Reservoir Link Energy Bhd'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.

Reservoir Link Energy Bhd Gross Margin % Chart

Reservoir Link Energy Bhd Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Jun23 Jun24
Gross Margin %
Get a 7-Day Free Trial 25.83 30.86 25.98 16.02 15.64

Reservoir Link Energy Bhd Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 15.79 11.81 21.09 13.88 21.75

Competitive Comparison of Reservoir Link Energy Bhd's Gross Margin %

For the Oil & Gas Equipment & Services subindustry, Reservoir Link Energy Bhd'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.


Reservoir Link Energy Bhd's Gross Margin % Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Reservoir Link Energy Bhd's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Reservoir Link Energy Bhd's Gross Margin % falls into.


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Reservoir Link Energy Bhd Gross Margin % Calculation

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

Reservoir Link Energy Bhd's Gross Margin for the fiscal year that ended in Jun. 2024 is calculated as

Gross Margin % (A: Jun. 2024 )=Gross Profit (A: Jun. 2024 ) / Revenue (A: Jun. 2024 )
=29.1 / 186.203
=(Revenue - Cost of Goods Sold) / Revenue
=(186.203 - 157.077) / 186.203
=15.64 %

Reservoir Link Energy Bhd's Gross Margin for the quarter that ended in Dec. 2024 is calculated as


Gross Margin % (Q: Dec. 2024 )=Gross Profit (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=7.5 / 34.709
=(Revenue - Cost of Goods Sold) / Revenue
=(34.709 - 27.161) / 34.709
=21.75 %

* 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.


Reservoir Link Energy Bhd  (XKLS:0219) 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

Reservoir Link Energy Bhd had a gross margin of 21.75% for the quarter that ended in Dec. 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.


Reservoir Link Energy Bhd Gross Margin % Related Terms

Thank you for viewing the detailed overview of Reservoir Link Energy Bhd's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Reservoir Link Energy Bhd Business Description

Traded in Other Exchanges
N/A
Address
No. 2, Jalan Kerinchi, Gerbang Kerinchi, E-33-01, Menara SUEZCAP 2, KL Gateway, Lestari, Kuala Lumpur, MYS, 59200
Reservoir Link Energy Bhd is a provider of well services for Oil & Gas Operators and Renewable Energy industry that supports upstream segments. The company provides services for well leak repair, perforation, testing, wash and cement, wireline services, production enhancement, and other services comprise of supplying oilfield products, equipment and technical personnel, and providing construction and consultancy services. The company has three business segments as oil and gas segment; Renewable energy segment and other services. It derives majority of its revenue from Renewable energy Segment.

Reservoir Link Energy Bhd Headlines

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