Dongguang Chemical (HKSE:01702) Pretax Margin %: 7.13% (As of Dec. 2025) — 13% Below Median

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HKSE:01702 Dongguang Chemical Ltd HKSE:01702
79 GF Score
Price HK$1.44
GF Value HK$1.59
Valuation Fairly Valued
! 4 Warning Signs
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What is Dongguang Chemical Pretax Margin %?

Dongguang Chemical HKSE:01702 79 Pretax Margin % is 7.13% as of Dec. 2025, which is 13% below its 10-year median of 8.17. GuruFocus rates HKSE:01702 with a GF Score™ of 79/100 and a GF Value™ of HK$1.59 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,578 Chemicals companies, Dongguang Chemical ranks better than 60.14% on this metric.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Dongguang Chemical's Pre-Tax Income for the six months ended in Dec. 2025 was HK$95 Mil. Dongguang Chemical's Revenue for the six months ended in Dec. 2025 was HK$1,329 Mil. Therefore, Dongguang Chemical's pretax margin for the quarter that ended in Dec. 2025 was 7.13%.

The historical rank and industry rank for Dongguang Chemical's Pretax Margin % or its related term are showing as below:

HKSE:01702' s Pretax Margin % Range Over the Past 10 Years
Min: 2.53   Med: 8.17   Max: 13.35
Current: 7.57


HKSE:01702's Pretax Margin % is ranked better than
60.14% of 1578 companies
in the Chemicals industry
Industry Median: 5.35 vs HKSE:01702: 7.57

Dongguang Chemical  (HKSE:01702) Pretax Margin % Explanation

The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.

The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.

It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.

The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.


Dongguang Chemical Pretax Margin % Related Terms


Dongguang Chemical Pretax Margin % Historical Data

* Premium members only.

The historical data trend for Dongguang Chemical's Pretax 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.

Dongguang Chemical Pretax Margin % Chart

Dongguang Chemical Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Pretax Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.35 8.82 9.20 4.78 7.57

Dongguang Chemical Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Pretax 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 12.94 9.38 -0.19 8.02 7.13

HKSE:01702 vs DOW: Pretax Margin % Comparison

For the Chemicals subindustry, Dongguang Chemical's Pretax Margin %, along with its competitors' market caps and Pretax 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.


Dongguang Chemical Pretax Margin % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Dongguang Chemical's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where Dongguang Chemical's Pretax Margin % falls into.


HKSE:01702
79GF Score
Dongguang Chemical Ltd HKSE:01702
Pretax Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Dongguang Chemical Pretax Margin % Calculation

Pretax margin - also known as pretax profit margin is the ratio of Pretax Income divided by net sales or Revenue, usually presented in percent.

Dongguang Chemical's Pretax Margin for the fiscal year that ended in Dec. 2025 is calculated as

Pretax Margin=Pre-Tax Income (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=199.426/2633.354
=7.57 %

Dongguang Chemical's Pretax Margin for the quarter that ended in Dec. 2025 is calculated as

Pretax Margin=Pre-Tax Income (Q: Dec. 2025 )/Revenue (Q: Dec. 2025 )
=94.792/1328.937
=7.13 %

* 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 Pretax Margin % →
What does a Pretax Margin % of 7.13% mean?
Dongguang Chemical (HKSE:01702) has a Pretax Margin % of 7.13% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Dongguang Chemical and its competitors. This is 13% below median its historical median of 8.17. Over the past decade, Dongguang Chemical's Pretax Margin % has ranged from 2.53 to 13.35. According to the industry distribution chart, Dongguang Chemical ranks #629 out of 1578 companies in the Chemicals industry, placing it in the top 39.9%.
Is Dongguang Chemical's Pretax Margin % too high?
Dongguang Chemical's current Pretax Margin % of 7.13% is 13% below median its 10-year median of 8.17. Over the past 10 years, this metric has ranged from a low of 2.53 to a high of 13.35. The Chemicals industry median Pretax Margin % is 5.35. Dongguang Chemical's value of 7.13% is 33.3% above this industry median. Based on the distribution chart, Dongguang Chemical ranks #629 out of 1578 companies in the Chemicals industry, which is above the industry midpoint. Overall, Dongguang Chemical has a GF Score™ of 79/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Dongguang Chemical's Pretax Margin % compare to DOW?
According to the Chemicals industry distribution chart, Dongguang Chemical ranks #629 out of 1578 companies for Pretax Margin %. This puts Dongguang Chemical in the upper half of its industry. The industry median Pretax Margin % is 5.35. Dongguang Chemical's value of 7.13% is 33.3% above this benchmark. Historically, Dongguang Chemical's own Pretax Margin % has ranged from 2.53 to 13.35 over the past decade. While the company's 10-year median is 8.17 vs. the industry median of 5.35, Dongguang Chemical has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for a Chemicals company?
The median Pretax Margin % among Chemicals companies is 5.35, based on 1,578 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Dongguang Chemical's current Pretax Margin % of 7.13% is 33.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Dongguang Chemical and its competitors. For the Chemicals industry, the median Pretax Margin % is 5.35 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dongguang Chemical's current Pretax Margin % is 7.13%, which is 13% below median its own 10-year median of 8.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dongguang Chemical stock overvalued right now?
Based on GuruFocus' analysis, Dongguang Chemical (HKSE:01702) is currently considered Fairly Valued. The stock's GF Value™ is HK$1.59, compared to a current price of HK$1.44 — trading 9.4% below its estimated fair value. The current Pretax Margin % is 7.13%, which is 13% below median its 10-year median of 8.17 and 33.3% above the Chemicals industry median of 5.35. Dongguang Chemical's overall GF Score™ is 79/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Dongguang Chemical (HKSE:01702), the current Pretax Margin % is 7.13% 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 Dongguang Chemical (HKSE:01702) Overvalued in 2026?

Based on GuruFocus' analysis, Dongguang Chemical stock appears to be undervalued. The current stock price of HK$1.44 is trading 9.4% below its estimated GF Value™ of HK$1.59. GuruFocus considers Dongguang Chemical to be Fairly Valued.

Key valuation signals for HKSE:01702:

  • Pretax Margin %: 7.13% (13% below median its 10-year median of 8.17)
  • GF Value™: HK$1.59 vs. price of HK$1.44 (9.4% below fair value)
  • GF Score™: 79/100 with 4 warning signs
  • Industry Position: 33.3% above the Chemicals median (#629 of 1578)

No single metric tells the full story. See the HKSE:01702 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Dongguang Chemical Business Description

Address Chengdong Industrial Zone, Dongguang County, Hebei Province, Dongguang, CHN
Dongguang Chemical Ltd is a coal-based urea producer. It produces and sells urea. Urea is the Group's main product, and the application of urea can be broadly categorised into agricultural and industrial uses. It is widely used as a source of nitrogen in fertilisers, and it has wide industrial applications, such as the production of adhesives, coatings, plastics, and cosmetics. The Group also produces and sells by-products of urea, including vehicle urea solution, methanol, liquid carbon dioxide, liquefied natural gas, liquid ammonia, and compound fertiliser. The Group has two active production plants with production technologies located in Dongguang County of Cangzhou City, Hebei Province.
79GF Score

Get the complete analysis for HKSE:01702

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

HK$1.44
Price
HK$1.59
GF Value