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Rhong Khen International Bhd (XKLS:7006) Gross Margin % : 11.09% (As of Mar. 2024)


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What is Rhong Khen International Bhd Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Rhong Khen International Bhd's Gross Profit for the three months ended in Mar. 2024 was RM12.7 Mil. Rhong Khen International Bhd's Revenue for the three months ended in Mar. 2024 was RM114.8 Mil. Therefore, Rhong Khen International Bhd's Gross Margin % for the quarter that ended in Mar. 2024 was 11.09%.


The historical rank and industry rank for Rhong Khen International Bhd's Gross Margin % or its related term are showing as below:

XKLS:7006' s Gross Margin % Range Over the Past 10 Years
Min: 10.7   Med: 13.88   Max: 17.73
Current: 13.3


During the past 13 years, the highest Gross Margin % of Rhong Khen International Bhd was 17.73%. The lowest was 10.70%. And the median was 13.88%.

XKLS:7006's Gross Margin % is ranked worse than
89.41% of 406 companies
in the Furnishings, Fixtures & Appliances industry
Industry Median: 29.29 vs XKLS:7006: 13.30

Rhong Khen International Bhd had a gross margin of 11.09% for the quarter that ended in Mar. 2024 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Rhong Khen International Bhd was 3.80% per year.


Rhong Khen International Bhd Gross Margin % Historical Data

The historical data trend for Rhong Khen International 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.

Rhong Khen International Bhd Gross Margin % Chart

Rhong Khen International Bhd Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.39 10.70 13.80 13.95 12.29

Rhong Khen International 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 3.26 16.20 9.22 15.63 11.09

Competitive Comparison of Rhong Khen International Bhd's Gross Margin %

For the Furnishings, Fixtures & Appliances subindustry, Rhong Khen International 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.


Rhong Khen International Bhd's Gross Margin % Distribution in the Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Rhong Khen International Bhd's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Rhong Khen International Bhd's Gross Margin % falls into.



Rhong Khen International Bhd Gross Margin % Calculation

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

Rhong Khen International Bhd's Gross Margin for the fiscal year that ended in Jun. 2023 is calculated as

Gross Margin % (A: Jun. 2023 )=Gross Profit (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=79.8 / 649.423
=(Revenue - Cost of Goods Sold) / Revenue
=(649.423 - 569.579) / 649.423
=12.29 %

Rhong Khen International 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 )
=12.7 / 114.777
=(Revenue - Cost of Goods Sold) / Revenue
=(114.777 - 102.047) / 114.777
=11.09 %

* 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.


Rhong Khen International Bhd  (XKLS:7006) 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

Rhong Khen International Bhd had a gross margin of 11.09% 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.


Rhong Khen International Bhd Gross Margin % Related Terms

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


Rhong Khen International Bhd (XKLS:7006) Business Description

Traded in Other Exchanges
N/A
Address
Batu 7¾ Jalan Kapar, Lot 3356, Kapar, SGR, MYS, 42200
Rhong Khen International Bhd predominantly manufactures and distributes polyester boards, decorative wood panels, dining furniture, bedroom sets, and impregnated paper for domestic and export markets. It has three segments Manufacturing, Rental of investment properties and Investment holding. Majority of the revenue for the company is generated from its manufacturing segment.

Rhong Khen International Bhd (XKLS:7006) Headlines

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