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Fountain Set (Holdings) (FRA:FOV) Gross Margin % : 7.81% (As of Jun. 2023)


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What is Fountain Set (Holdings) Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Fountain Set (Holdings)'s Gross Profit for the six months ended in Jun. 2023 was €20.2 Mil. Fountain Set (Holdings)'s Revenue for the six months ended in Jun. 2023 was €258.5 Mil. Therefore, Fountain Set (Holdings)'s Gross Margin % for the quarter that ended in Jun. 2023 was 7.81%.


The historical rank and industry rank for Fountain Set (Holdings)'s Gross Margin % or its related term are showing as below:

FRA:FOV' s Gross Margin % Range Over the Past 10 Years
Min: 7.25   Med: 11.23   Max: 13.03
Current: 7.25


During the past 13 years, the highest Gross Margin % of Fountain Set (Holdings) was 13.03%. The lowest was 7.25%. And the median was 11.23%.

FRA:FOV's Gross Margin % is ranked worse than
86.03% of 1031 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 25.22 vs FRA:FOV: 7.25

Fountain Set (Holdings) had a gross margin of 7.81% for the quarter that ended in Jun. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Fountain Set (Holdings) was -0.20% per year.


Fountain Set (Holdings) Gross Margin % Historical Data

The historical data trend for Fountain Set (Holdings)'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.

Fountain Set (Holdings) Gross Margin % Chart

Fountain Set (Holdings) 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 11.52 12.36 13.03 9.54 7.25

Fountain Set (Holdings) Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 12.03 11.55 6.76 7.81 6.71

Competitive Comparison of Fountain Set (Holdings)'s Gross Margin %

For the Textile Manufacturing subindustry, Fountain Set (Holdings)'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.


Fountain Set (Holdings)'s Gross Margin % Distribution in the Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Fountain Set (Holdings)'s Gross Margin % distribution charts can be found below:

* The bar in red indicates where Fountain Set (Holdings)'s Gross Margin % falls into.



Fountain Set (Holdings) Gross Margin % Calculation

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

Fountain Set (Holdings)'s Gross Margin for the fiscal year that ended in Dec. 2022 is calculated as

Gross Margin % (A: Dec. 2022 )=Gross Profit (A: Dec. 2022 ) / Revenue (A: Dec. 2022 )
=70.1 / 734.02
=(Revenue - Cost of Goods Sold) / Revenue
=(734.02 - 663.958) / 734.02
=9.54 %

Fountain Set (Holdings)'s Gross Margin for the quarter that ended in Jun. 2023 is calculated as


Gross Margin % (Q: Jun. 2023 )=Gross Profit (Q: Jun. 2023 ) / Revenue (Q: Jun. 2023 )
=20.2 / 258.514
=(Revenue - Cost of Goods Sold) / Revenue
=(258.514 - 238.324) / 258.514
=7.81 %

* 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.


Fountain Set (Holdings)  (FRA:FOV) 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

Fountain Set (Holdings) had a gross margin of 7.81% for the quarter that ended in Jun. 2023 => 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.


Fountain Set (Holdings) Gross Margin % Related Terms

Thank you for viewing the detailed overview of Fountain Set (Holdings)'s Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Fountain Set (Holdings) (FRA:FOV) Business Description

Traded in Other Exchanges
Address
29-39 Kwai Cheong Road, Block A, 6th Floor, Eastern Sea Industrial Building, Kwai Chung, New Territories, Hong Kong, HKG
Fountain Set (Holdings) Ltd and its subsidiaries are circularly knitted fabric manufacturers. It provides vertically integrated operations in fabric knitting, dyeing, printing, and finishing. In addition, the group's product range also includes garments. The company supplies knitted fabric to garment manufacturers for apparel products like sportswear, casual wear, sleepwear, and innerwear. The operating segments of the company are the production and sales of dyed fabrics and yarns, and the Production and sales of garments. The group operates in Hong Kong, China, Taiwan, Korea, Sri Lanka, America, Europe, and Others.

Fountain Set (Holdings) (FRA:FOV) Headlines

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