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Beijing Fourth Paradigm Technology Co (HKSE:06682) Gross Margin % : 47.09% (As of Dec. 2023)


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What is Beijing Fourth Paradigm Technology Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Beijing Fourth Paradigm Technology Co's Gross Profit for the six months ended in Dec. 2023 was HK$2,165 Mil. Beijing Fourth Paradigm Technology Co's Revenue for the six months ended in Dec. 2023 was HK$4,598 Mil. Therefore, Beijing Fourth Paradigm Technology Co's Gross Margin % for the quarter that ended in Dec. 2023 was 47.09%.


The historical rank and industry rank for Beijing Fourth Paradigm Technology Co's Gross Margin % or its related term are showing as below:

HKSE:06682' s Gross Margin % Range Over the Past 10 Years
Min: 45.61   Med: 47.17   Max: 48.23
Current: 47.09

During the past 4 years, the highest Gross Margin % of Beijing Fourth Paradigm Technology Co was 48.23%. The lowest was 45.61%. And the median was 47.17%.

HKSE:06682's Gross Margin % is ranked better than
56.02% of 2640 companies
in the Software industry
Industry Median: 41.76 vs HKSE:06682: 47.09

Beijing Fourth Paradigm Technology Co had a gross margin of 47.09% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Beijing Fourth Paradigm Technology Co was 0.00% per year.

Beijing Fourth Paradigm Technology Co Gross Margin % Historical Data

The historical data trend for Beijing Fourth Paradigm Technology Co'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.

Beijing Fourth Paradigm Technology Co Gross Margin % Chart

Beijing Fourth Paradigm Technology Co Annual Data
Trend Dec20 Dec21 Dec22 Dec23
Gross Margin %
45.61 47.24 48.23 47.09

Beijing Fourth Paradigm Technology Co Semi-Annual Data
Dec20 Dec21 Dec22 Dec23
Gross Margin % 45.61 47.24 48.23 47.09

Competitive Comparison of Beijing Fourth Paradigm Technology Co's Gross Margin %

For the Software - Infrastructure subindustry, Beijing Fourth Paradigm Technology Co'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.

Beijing Fourth Paradigm Technology Co's Gross Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Beijing Fourth Paradigm Technology Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Beijing Fourth Paradigm Technology Co's Gross Margin % falls into.


Beijing Fourth Paradigm Technology Co Gross Margin % Calculation

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

Beijing Fourth Paradigm Technology Co'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 )
=2165.2 / 4598.402
=(Revenue - Cost of Goods Sold) / Revenue
=(4598.402 - 2433.214) / 4598.402
=47.09 %

Beijing Fourth Paradigm Technology Co's Gross Margin for the quarter that ended in Dec. 2023 is calculated as


Gross Margin % (Q: Dec. 2023 )=Gross Profit (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=2165.2 / 4598.402
=(Revenue - Cost of Goods Sold) / Revenue
=(4598.402 - 2433.214) / 4598.402
=47.09 %

* 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.

Beijing Fourth Paradigm Technology Co  (HKSE:06682) 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

Beijing Fourth Paradigm Technology Co had a gross margin of 47.09% for the quarter that ended in Dec. 2023 => Durable 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.

Beijing Fourth Paradigm Technology Co Gross Margin % Related Terms

Thank you for viewing the detailed overview of Beijing Fourth Paradigm Technology Co's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.

Beijing Fourth Paradigm Technology Co (HKSE:06682) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » Beijing Fourth Paradigm Technology Co Ltd (HKSE:06682) » Definitions » Gross Margin %
Comparable Companies
HKSE:09923 HKSE:06608 HKSE:02121 HKSE:09959 HKSE:00818 HKSE:03315 HKSE:03773 HKSE:01410 HKSE:01611 HKSE:02167 MSFT ORCL ADBE PANW SNPS VMW FTNT CRWD PLTR SQ
Traded in Other Exchanges
N/A
Address
No. 66 Qinghe Middle Street, No. L01301-1, Level 13 Building 1, Haidian, Beijing, CHN
Website
http://www.4paradigm.com
Beijing Fourth Paradigm Technology Co Ltd is a leader in enterprise AI. It is an AI software company that focuses on providing platform-centric AI software that enables enterprises to develop their own decision-making AI applications. Its enterprise-level solutions are designed to serve enterprises, rather than individuals. It offers platform-centric AI solutions that can be rapidly deployed by enterprises on a large scale to uncover hidden patterns in data and comprehensively enhance their decision-making capabilities.
Executives
Hongshan Capital Venture Fund V, L.p.
Hsg Holding Limited
Hsg Venture V Management, L.p.
Hsg Venture V-mars (hk) Limited
Snp China Enterprises Limited
Shen Nan Peng
He Nan Guo Xin Qi Di Ji Jin Guan Li You Xian Gong Si
He Nan Guo Xin Qi Di Gu Quan Tou Zi Ji Jin You Xian He Huo
Smart Dynamic Limited 2201 Interest of corporation controlled by you
Bei Jing Chuang Xin Gong Chang Chuang Ye Tou Zi Zhong Xin You Xian He Huo 2101 Beneficial owner
Bei Jing Hu Lian Chuang Xin Gong Chang Tou Zi Guan Li You Xian Gong Si 2201 Interest of corporation controlled by you
Chuang Xin Gong Chang Xia Men Tou Zi Guan Li You Xian Gong Si 2201 Interest of corporation controlled by you
Chuang Xin Gong Chang Xia Men Chuang Ye Tou Zi He Huo Qi Ye You Xian He Huo 2201 Interest of corporation controlled by you
Pu Rui Gu Quan Tou Zi Tian Jin He Huo Qi Ye You Xian He Huo 2201 Interest of corporation controlled by you
Pu Rui Guan Li Zi Xun Tian Jin You Xian Gong Si 2201 Interest of corporation controlled by you

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