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Yunnan Energy Investment Co (SZSE:002053) Gross Margin % : 54.39% (As of Mar. 2024)


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What is Yunnan Energy Investment Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Yunnan Energy Investment Co's Gross Profit for the three months ended in Mar. 2024 was ¥530 Mil. Yunnan Energy Investment Co's Revenue for the three months ended in Mar. 2024 was ¥975 Mil. Therefore, Yunnan Energy Investment Co's Gross Margin % for the quarter that ended in Mar. 2024 was 54.39%.

Warning Sign:

Yunnan Energy Investment Co Ltd gross margin has been in long-term decline. The average rate of decline per year is -5.7%.


The historical rank and industry rank for Yunnan Energy Investment Co's Gross Margin % or its related term are showing as below:

SZSE:002053' s Gross Margin % Range Over the Past 10 Years
Min: 34.42   Med: 43.86   Max: 59.97
Current: 43.33


During the past 13 years, the highest Gross Margin % of Yunnan Energy Investment Co was 59.97%. The lowest was 34.42%. And the median was 43.86%.

SZSE:002053's Gross Margin % is ranked better than
87.53% of 1508 companies
in the Chemicals industry
Industry Median: 22.245 vs SZSE:002053: 43.33

Yunnan Energy Investment Co had a gross margin of 54.39% for the quarter that ended in Mar. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Yunnan Energy Investment Co was -5.70% per year.


Yunnan Energy Investment Co Gross Margin % Historical Data

The historical data trend for Yunnan Energy Investment 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.

Yunnan Energy Investment Co Gross Margin % Chart

Yunnan Energy Investment Co 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 51.50 44.05 38.81 39.77 41.53

Yunnan Energy Investment Co 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 51.56 41.34 31.19 41.86 54.39

Competitive Comparison of Yunnan Energy Investment Co's Gross Margin %

For the Specialty Chemicals subindustry, Yunnan Energy Investment 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.


Yunnan Energy Investment Co's Gross Margin % Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Yunnan Energy Investment Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Yunnan Energy Investment Co's Gross Margin % falls into.



Yunnan Energy Investment Co Gross Margin % Calculation

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

Yunnan Energy Investment 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 )
=1206 / 2904.105
=(Revenue - Cost of Goods Sold) / Revenue
=(2904.105 - 1698.072) / 2904.105
=41.53 %

Yunnan Energy Investment Co'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 )
=530.1 / 974.669
=(Revenue - Cost of Goods Sold) / Revenue
=(974.669 - 444.552) / 974.669
=54.39 %

* 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.


Yunnan Energy Investment Co  (SZSE:002053) 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

Yunnan Energy Investment Co had a gross margin of 54.39% for the quarter that ended in Mar. 2024 => 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.


Yunnan Energy Investment Co Gross Margin % Related Terms

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


Yunnan Energy Investment Co (SZSE:002053) Business Description

Traded in Other Exchanges
N/A
Address
No. 276, Yunnan Spring City Road, Guandu District, Yunnan Province, Kunming, CHN, 650200
Yunnan Energy Investment Co Ltd is a China-based company engaged in the inorganic chemicals industry. It is involved in the production and sales of salt, industrial salt, daily salt, thenardite and other products. In addition, the company is also involved in the construction and operation of the natural gas pipeline network.

Yunnan Energy Investment Co (SZSE:002053) Headlines

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