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Rego Interactive Co (HKSE:02422) Gross Margin % : 47.71% (As of Dec. 2023)


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What is Rego Interactive Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Rego Interactive Co's Gross Profit for the six months ended in Dec. 2023 was HK$63.7 Mil. Rego Interactive Co's Revenue for the six months ended in Dec. 2023 was HK$133.5 Mil. Therefore, Rego Interactive Co's Gross Margin % for the quarter that ended in Dec. 2023 was 47.71%.


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

HKSE:02422' s Gross Margin % Range Over the Past 10 Years
Min: 50.01   Med: 52.01   Max: 67.12
Current: 53.21


During the past 5 years, the highest Gross Margin % of Rego Interactive Co was 67.12%. The lowest was 50.01%. And the median was 52.01%.

HKSE:02422's Gross Margin % is ranked better than
69.81% of 964 companies
in the Media - Diversified industry
Industry Median: 37.885 vs HKSE:02422: 53.21

Rego Interactive Co had a gross margin of 47.71% for the quarter that ended in Dec. 2023 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Rego Interactive Co was 0.00% per year.


Rego Interactive Co Gross Margin % Historical Data

The historical data trend for Rego Interactive 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.

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Rego Interactive Co Gross Margin % Chart

Rego Interactive Co Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
50.01 67.12 50.20 52.01 53.21

Rego Interactive Co Semi-Annual Data
Dec19 Dec20 Dec21 Jun22 Dec22 Jun23 Dec23
Gross Margin % Get a 7-Day Free Trial - 52.91 51.35 62.95 47.71

Competitive Comparison of Rego Interactive Co's Gross Margin %

For the Advertising Agencies subindustry, Rego Interactive 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.


Rego Interactive Co's Gross Margin % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Rego Interactive Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Rego Interactive Co's Gross Margin % falls into.



Rego Interactive Co Gross Margin % Calculation

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

Rego Interactive 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 )
=111.2 / 208.98
=(Revenue - Cost of Goods Sold) / Revenue
=(208.98 - 97.779) / 208.98
=53.21 %

Rego Interactive 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 )
=63.7 / 133.536
=(Revenue - Cost of Goods Sold) / Revenue
=(133.536 - 69.827) / 133.536
=47.71 %

* 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.


Rego Interactive Co  (HKSE:02422) 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

Rego Interactive Co had a gross margin of 47.71% 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.


Rego Interactive Co Gross Margin % Related Terms

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Rego Interactive Co (HKSE:02422) Business Description

Traded in Other Exchanges
N/A
Address
Yinhu Innovation Centre, Yinhu Street, 2nd Floor, Building 8, Fuyang District, Hangzhou, CHN, 311400
Rego Interactive Co Ltd is engaged on the provision of marketing and promotion services and IT solutions services in the PRC. The Group has three reporting segments: Marketing and promotion services; IT solutions services; and Others.
Executives
Tian Huan 2201 Interest of corporation controlled by you
Zhang Yongli 2201 Interest of corporation controlled by you
Tanshin Investments Limited 2101 Beneficial owner
Chen Ping 2201 Interest of corporation controlled by you
Vicen Investments Limited 2101 Beneficial owner
Sprus Investments Limited 2101 Beneficial owner

Rego Interactive Co (HKSE:02422) Headlines

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