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Champion Alliance International Holdings (HKSE:01629) Gross Margin % : 18.09% (As of Jun. 2023)


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What is Champion Alliance International Holdings Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Champion Alliance International Holdings's Gross Profit for the six months ended in Jun. 2023 was HK$34.7 Mil. Champion Alliance International Holdings's Revenue for the six months ended in Jun. 2023 was HK$191.7 Mil. Therefore, Champion Alliance International Holdings's Gross Margin % for the quarter that ended in Jun. 2023 was 18.09%.


The historical rank and industry rank for Champion Alliance International Holdings's Gross Margin % or its related term are showing as below:

HKSE:01629' s Gross Margin % Range Over the Past 10 Years
Min: 14.26   Med: 18.93   Max: 27.51
Current: 18.95


During the past 11 years, the highest Gross Margin % of Champion Alliance International Holdings was 27.51%. The lowest was 14.26%. And the median was 18.93%.

HKSE:01629's Gross Margin % is ranked worse than
60.92% of 371 companies
in the Packaging & Containers industry
Industry Median: 21.58 vs HKSE:01629: 18.95

Champion Alliance International Holdings had a gross margin of 18.09% for the quarter that ended in Jun. 2023 => No sustainable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Champion Alliance International Holdings was 10.50% per year.


Champion Alliance International Holdings Gross Margin % Historical Data

The historical data trend for Champion Alliance International 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.

Champion Alliance International Holdings Gross Margin % Chart

Champion Alliance International Holdings 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 14.26 15.02 25.50 27.51 18.95

Champion Alliance International Holdings Semi-Annual Data
Dec13 Dec14 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 39.71 31.98 22.01 18.09 16.24

Competitive Comparison of Champion Alliance International Holdings's Gross Margin %

For the Packaging & Containers subindustry, Champion Alliance International 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.


Champion Alliance International Holdings's Gross Margin % Distribution in the Packaging & Containers Industry

For the Packaging & Containers industry and Consumer Cyclical sector, Champion Alliance International Holdings's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Champion Alliance International Holdings's Gross Margin % falls into.



Champion Alliance International Holdings Gross Margin % Calculation

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

Champion Alliance International Holdings's Gross Margin for the fiscal year that ended in Dec. 2022 is calculated as

Gross Margin % (A: Dec. 2022 )=Gross Profit (A: Dec. 2022 ) / Revenue (A: Dec. 2022 )
=77 / 279.912
=(Revenue - Cost of Goods Sold) / Revenue
=(279.912 - 202.913) / 279.912
=27.51 %

Champion Alliance International Holdings's Gross Margin for the quarter that ended in Jun. 2023 is calculated as


Gross Margin % (Q: Jun. 2023 )=Gross Profit (Q: Jun. 2023 ) / Revenue (Q: Jun. 2023 )
=34.7 / 191.697
=(Revenue - Cost of Goods Sold) / Revenue
=(191.697 - 157.017) / 191.697
=18.09 %

* 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.


Champion Alliance International Holdings  (HKSE:01629) 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

Champion Alliance International Holdings had a gross margin of 18.09% for the quarter that ended in Jun. 2023 => No sustainable 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.


Champion Alliance International Holdings Gross Margin % Related Terms

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Champion Alliance International Holdings (HKSE:01629) Business Description

Traded in Other Exchanges
N/A
Address
Dongping Economic Development Zone, Shandong Province, Tai'an, CHN
Champion Alliance International Holdings Ltd is engaged in two segments namely, the new energy operation segment engages in the production and sale of steam for industrial use, heating and electricity in Mainland China; and the household paper products segment that trades household paper products. The company operates in Mainland China.

Champion Alliance International Holdings (HKSE:01629) Headlines

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