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Sino Hotels (Holdings) (HKSE:01221) Gross Margin % : 57.33% (As of Dec. 2023)


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What is Sino Hotels (Holdings) Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Sino Hotels (Holdings)'s Gross Profit for the six months ended in Dec. 2023 was HK$37.7 Mil. Sino Hotels (Holdings)'s Revenue for the six months ended in Dec. 2023 was HK$65.8 Mil. Therefore, Sino Hotels (Holdings)'s Gross Margin % for the quarter that ended in Dec. 2023 was 57.33%.

Warning Sign:

Sino Hotels (Holdings) Ltd gross margin has been in long-term decline. The average rate of decline per year is -2.1%.


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

HKSE:01221' s Gross Margin % Range Over the Past 10 Years
Min: 43.89   Med: 62.19   Max: 68.92
Current: 58.84


During the past 13 years, the highest Gross Margin % of Sino Hotels (Holdings) was 68.92%. The lowest was 43.89%. And the median was 62.19%.

HKSE:01221's Gross Margin % is ranked better than
69.05% of 769 companies
in the Travel & Leisure industry
Industry Median: 43.23 vs HKSE:01221: 58.84

Sino Hotels (Holdings) had a gross margin of 57.33% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Sino Hotels (Holdings) was -2.10% per year.


Sino Hotels (Holdings) Gross Margin % Historical Data

The historical data trend for Sino Hotels (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.

Sino Hotels (Holdings) Gross Margin % Chart

Sino Hotels (Holdings) Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 62.41 43.89 50.36 56.33 55.83

Sino Hotels (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 57.66 55.09 51.36 60.30 57.33

Competitive Comparison of Sino Hotels (Holdings)'s Gross Margin %

For the Lodging subindustry, Sino Hotels (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.


Sino Hotels (Holdings)'s Gross Margin % Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Sino Hotels (Holdings)'s Gross Margin % distribution charts can be found below:

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



Sino Hotels (Holdings) Gross Margin % Calculation

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

Sino Hotels (Holdings)'s Gross Margin for the fiscal year that ended in Jun. 2023 is calculated as

Gross Margin % (A: Jun. 2023 )=Gross Profit (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=76.1 / 136.356
=(Revenue - Cost of Goods Sold) / Revenue
=(136.356 - 60.233) / 136.356
=55.83 %

Sino Hotels (Holdings)'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 )
=37.7 / 65.755
=(Revenue - Cost of Goods Sold) / Revenue
=(65.755 - 28.06) / 65.755
=57.33 %

* 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.


Sino Hotels (Holdings)  (HKSE:01221) 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

Sino Hotels (Holdings) had a gross margin of 57.33% 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.


Sino Hotels (Holdings) Gross Margin % Related Terms

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


Sino Hotels (Holdings) (HKSE:01221) Business Description

Traded in Other Exchanges
N/A
Address
Salisbury Road, 12th Floor, Tsim Sha Tsui Centre, Tsim Sha Tsui, Kowloon, Hong Kong, HKG
Sino Hotels (Holdings) Ltd is a Hong Kong-based investment holding company. It is engaged in the operation and management of hotels. The hotels under the operation of the group include City Garden Hotel, The Royal Pacific Hotel & Towers, and Conrad Hong Kong, among others. The company divides its business into the segments of Hotel operation, Investment holding, Hotel operation(share of results of associates), and Other, of which key revenue is derived from the Hotel operation segment which involves the operation of City Garden Hotel. All of the activities of the group are based in Hong Kong.

Sino Hotels (Holdings) (HKSE:01221) Headlines

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