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Choo Bee Metal Industries Bhd (XKLS:5797) Gross Margin % : 9.40% (As of Mar. 2024)


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What is Choo Bee Metal Industries Bhd Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Choo Bee Metal Industries Bhd's Gross Profit for the three months ended in Mar. 2024 was RM8.3 Mil. Choo Bee Metal Industries Bhd's Revenue for the three months ended in Mar. 2024 was RM88.6 Mil. Therefore, Choo Bee Metal Industries Bhd's Gross Margin % for the quarter that ended in Mar. 2024 was 9.40%.

Warning Sign:

Choo Bee Metal Industries Bhd gross margin has been in long-term decline. The average rate of decline per year is -3.4%.


The historical rank and industry rank for Choo Bee Metal Industries Bhd's Gross Margin % or its related term are showing as below:

XKLS:5797' s Gross Margin % Range Over the Past 10 Years
Min: 4.52   Med: 10.91   Max: 32.55
Current: 6.3


During the past 13 years, the highest Gross Margin % of Choo Bee Metal Industries Bhd was 32.55%. The lowest was 4.52%. And the median was 10.91%.

XKLS:5797's Gross Margin % is ranked worse than
76.41% of 585 companies
in the Steel industry
Industry Median: 13.11 vs XKLS:5797: 6.30

Choo Bee Metal Industries Bhd had a gross margin of 9.40% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Choo Bee Metal Industries Bhd was -3.40% per year.


Choo Bee Metal Industries Bhd Gross Margin % Historical Data

The historical data trend for Choo Bee Metal Industries 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.

Choo Bee Metal Industries Bhd Gross Margin % Chart

Choo Bee Metal Industries Bhd 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 4.52 13.52 32.55 7.58 6.60

Choo Bee Metal Industries Bhd Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 10.05 8.61 3.39 4.67 9.40

Competitive Comparison of Choo Bee Metal Industries Bhd's Gross Margin %

For the Steel subindustry, Choo Bee Metal Industries 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.


Choo Bee Metal Industries Bhd's Gross Margin % Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, Choo Bee Metal Industries Bhd's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Choo Bee Metal Industries Bhd's Gross Margin % falls into.



Choo Bee Metal Industries Bhd Gross Margin % Calculation

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

Choo Bee Metal Industries Bhd'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 )
=26.5 / 402.114
=(Revenue - Cost of Goods Sold) / Revenue
=(402.114 - 375.593) / 402.114
=6.60 %

Choo Bee Metal Industries Bhd's Gross Margin for the quarter that ended in Mar. 2024 is calculated as


Gross Margin % (Q: Mar. 2024 )=Gross Profit (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=8.3 / 88.622
=(Revenue - Cost of Goods Sold) / Revenue
=(88.622 - 80.289) / 88.622
=9.40 %

* 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.


Choo Bee Metal Industries Bhd  (XKLS:5797) 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

Choo Bee Metal Industries Bhd had a gross margin of 9.40% for the quarter that ended in Mar. 2024 => 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.


Choo Bee Metal Industries Bhd Gross Margin % Related Terms

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


Choo Bee Metal Industries Bhd (XKLS:5797) Business Description

Traded in Other Exchanges
N/A
Address
Jalan Bendahara, Wisma Soon Teik Aun, Ipoh, PRK, MYS, 31650
Choo Bee Metal Industries Bhd is a Malaysian-based company engaged in the processing of steel coils into steel products, fabrication of steel products, and trading of hardware products. The firm manufactures steel products for oil and gas applications, building and construction industries, trading of hardware products, functioning as beams, channels, mild steel plates, flat bars, angle bars, stainless steel products, and other building materials, as well as provision of steel servicing, such as slitting and shearing of coils. The group is organized into trading and manufacturing segments in which Trading segments derive a majority of its revenue. Geographically, it derives the majority of its revenue from Malaysia.

Choo Bee Metal Industries Bhd (XKLS:5797) Headlines

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