China Shun Ke Long Holdings (HKSE:00974) Operating Margin %: -2.56% (As of Dec. 2025)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

HKSE:00974 China Shun Ke Long Holdings Ltd HKSE:00974
36 GF Score
Price HK$0.82
GF Value HK$0.66
Valuation Modestly Overvalued
! 7 Warning Signs
View Full Analysis

What is China Shun Ke Long Holdings Operating Margin %?

China Shun Ke Long Holdings HKSE:00974 +7.89% 36 Operating Margin % is -2.56% as of Dec. 2025. GuruFocus rates HKSE:00974 with a GF Score™ of 36/100 and a GF Value™ of HK$0.66 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 311 Retail - Defensive companies, China Shun Ke Long Holdings ranks worse than 87.78% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. China Shun Ke Long Holdings's Operating Income for the six months ended in Dec. 2025 was HK$-6.7 Mil. China Shun Ke Long Holdings's Revenue for the six months ended in Dec. 2025 was HK$260.6 Mil. Therefore, China Shun Ke Long Holdings's Operating Margin % for the quarter that ended in Dec. 2025 was -2.56%.

Warning Sign:

China Shun Ke Long Holdings Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -16.5%.

The historical rank and industry rank for China Shun Ke Long Holdings's Operating Margin % or its related term are showing as below:

HKSE:00974' s Operating Margin % Range Over the Past 10 Years
Min: -6.88   Med: -2.1   Max: 2.55
Current: -2.57


HKSE:00974's Operating Margin % is ranked worse than
87.78% of 311 companies
in the Retail - Defensive industry
Industry Median: 3.27 vs HKSE:00974: -2.57

China Shun Ke Long Holdings's 5-Year Average Operating Margin % Growth Rate was -16.50% per year.

China Shun Ke Long Holdings's Operating Income for the six months ended in Dec. 2025 was HK$-6.7 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was HK$-13.6 Mil.

Warning Sign:

China Shun Ke Long Holdings Ltd has never been profitable in the past 3 years. It lost money every year.


China Shun Ke Long Holdings  (HKSE:00974) Operating Margin % Explanation

Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.


Be Aware

Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia’s Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


China Shun Ke Long Holdings Operating Margin % Related Terms


China Shun Ke Long Holdings Operating Margin % Historical Data

* Premium members only.

The historical data trend for China Shun Ke Long Holdings's Operating 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.

China Shun Ke Long Holdings Operating Margin % Chart

China Shun Ke Long Holdings Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -4.88 -3.55 -3.86 -6.88 -2.57

China Shun Ke Long Holdings Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Operating 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 -3.72 -5.71 -8.14 -2.58 -2.56

HKSE:00974 vs KR: Operating Margin % Comparison

For the Grocery Stores subindustry, China Shun Ke Long Holdings's Operating Margin %, along with its competitors' market caps and Operating 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.


China Shun Ke Long Holdings Operating Margin % vs Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, China Shun Ke Long Holdings's Operating Margin % distribution charts can be found below:

* The bar in red indicates where China Shun Ke Long Holdings's Operating Margin % falls into.


HKSE:00974
36GF Score
China Shun Ke Long Holdings Ltd HKSE:00974
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

China Shun Ke Long Holdings Operating Margin % Calculation

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

China Shun Ke Long Holdings's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=-13.675 / 532.273
=-2.57 %

China Shun Ke Long Holdings's Operating Margin % for the quarter that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=-6.669 / 260.569
=-2.56 %

* 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.

Frequently Asked Questions Learn more about Operating Margin % →
What does a Operating Margin % of -2.56% mean?
China Shun Ke Long Holdings (HKSE:00974) has a Operating Margin % of -2.56% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on China Shun Ke Long Holdings and its competitors. According to the industry distribution chart, China Shun Ke Long Holdings ranks #273 out of 311 companies in the Retail - Defensive industry, placing it in the top 87.8%.
Is China Shun Ke Long Holdings' Operating Margin % too high?
China Shun Ke Long Holdings' current Operating Margin % is -2.56%. Based on the distribution chart, China Shun Ke Long Holdings ranks #273 out of 311 companies in the Retail - Defensive industry, which is in the bottom quartile relative to peers. Overall, China Shun Ke Long Holdings has a GF Score™ of 36/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does China Shun Ke Long Holdings' Operating Margin % compare to KR?
According to the Retail - Defensive industry distribution chart, China Shun Ke Long Holdings ranks #273 out of 311 companies for Operating Margin %. This places China Shun Ke Long Holdings in the lower half of its industry. The industry median Operating Margin % is 3.27. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Margin % for a Retail - Defensive company?
The median Operating Margin % among Retail - Defensive companies is 3.27, based on 311 companies in the industry. Companies in the top quartile (top 25%) have a Operating Margin % significantly above this median, while those in the bottom quartile fall well below. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Margin % mean?
A high Operating Margin % can signal that a stock is expensive relative to its fundamentals. Operating margin is the ratio of total operating income to net sales. View historical data on China Shun Ke Long Holdings and its competitors. For the Retail - Defensive industry, the median Operating Margin % is 3.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Shun Ke Long Holdings's current Operating Margin % is -2.56%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Shun Ke Long Holdings stock overvalued right now?
Based on GuruFocus' analysis, China Shun Ke Long Holdings (HKSE:00974) is currently considered Modestly Overvalued. The stock's GF Value™ is HK$0.66, compared to a current price of HK$0.82 — trading 24.2% above its estimated fair value. The current Operating Margin % is -2.56%. China Shun Ke Long Holdings' overall GF Score™ is 36/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Margin % calculated?
Operating Margin % is calculated from a company's financial statements. For China Shun Ke Long Holdings (HKSE:00974), the current Operating Margin % is -2.56% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is China Shun Ke Long Holdings (HKSE:00974) Overvalued in 2026?

Based on GuruFocus' analysis, China Shun Ke Long Holdings stock appears to be overvalued. The current stock price of HK$0.82 is trading 24.2% above its estimated GF Value™ of HK$0.66. GuruFocus considers China Shun Ke Long Holdings to be Modestly Overvalued.

Key valuation signals for HKSE:00974:

  • Operating Margin %: -2.56%
  • GF Value™: HK$0.66 vs. price of HK$0.82 (24.2% above fair value)
  • GF Score™: 36/100 with 7 warning signs

No single metric tells the full story. See the HKSE:00974 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


China Shun Ke Long Holdings Business Description

Address No. 60 Hebin North Road, Huale Building, Floor 2nd, Lecong Town, Shunde District, Guangdong Province, Foshan, CHN
China Shun Ke Long Holdings Ltd is an investment holding company. The Company is a supermarket chain store operator with geographical focus in Guangdong province of the People's Republic of China (the PRC) and maintains both retail and wholesale distribution channels. The company operates through two segments: Retail Outlet Operation segment which includes sales of fresh food, non-staple food and household products; and Wholesale distribution which includes sales of fast consumable products and non-staple food. The majority of revenue comes from Retail Outlet Operation segment. The company generates revenue from The PRC.
36GF Score

Get the complete analysis for HKSE:00974

Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$0.82
Price
HK$0.66
GF Value