Gross Profit Margin Of Eight Industries Such As Textiles And Garments

"Most companies that really make you invest in big profits have a relatively high profit margin, usually having the highest profit margin in the industry."

Philip Fisher, an investment guru, said in his book "how to choose growth stocks".

The gross profit margins of the four industries, namely, food and beverage, real estate, catering and tourism and information services, are above 30%; 15 industries have alerting the decline of gross profit margin, among which the pportation industry, mining, agriculture, forestry, animal husbandry, fishery and chemical industry are the largest industries with the largest decline in gross margins, and all of them decline by more than 3 percentage points.

"With inflation falling, the cost pressure will gradually ease, the profitability of the original industry will be restored, but as demand is still falling, so we can only adhere to the stable demand and gross profit margin will rise again in the industry configuration."

China Merchants Securities analyst

Which industries will stand out from the economic difficulties?

Chen Wenzhao pointed out that in the two cycles of downward inflation in 2004 and 2008, the industries with gross margin improvement and stable demand were mainly food and beverage, textile and garment, light manufacturing, pharmaceutical and biological, public utilities, commercial trade and catering tourism.

From the 2011 Annual Report, the gross profit margin of these industries is equally good.

In the context of the decline in gross profit margin of A share listed companies, data statistics show that 8 of the 23 industries in China will rise in gross profit margin last year. They are real estate, comprehensive, food and beverage, building materials, non-ferrous metals, household appliances, etc.

In the subdivision industry, the largest increase in gross margin is the development industry of the park. The average gross margin level of the industry has increased from 35.95% in the same period last year to 48.82%, and the gross margin level has increased by 12.87 percentage points.

The gross profit margin of the Internet service industry increased year by year. In 2008, the average gross margin level of the industry was only 29.11%, and last year, the average gross margin level rose to 38.22%.

Among them, the gross margin of 600637.SH increased significantly. Compared with 2010, the gross profit margin of blockbuster increased by 10.9 percentage points to 58.1% over the same period last year, mainly due to the increase in the gross margin IPTV business revenue (in 2011, the consolidated gross profit margin of the company was 49.7%, and the gross margin of the IPTV business was 62.7%).

Catering, tourism, beverage manufacturing and highway top three

Although many listed companies faced difficult business environment last year, there are still some industries that are full of vitality and alarming high margin level. Are these industries at the best time?

Statistics show that in shwan second tier industries, the industry's highest average gross margin level is hotels, restaurants, beverage manufacturing, highways and scenic spots. Gross margins are over 50%, which is a truly profiteering industry.

"The rapid development of the catering and tourism industry is due to the promotion of the national economy, which is driven by the general trend."

QE Securities pointed out in the research report.

According to statistics, the average gross profit margin of the catering and tourism industry in 2011 was 36.07%. In the subdivision industry, the gross profit margin of the hotel industry reached 68.08%, the catering industry was 60.89%, and the scenic spot industry was 50.64%, all of which entered the ranks of the top 5 of the gross profit margin of the Shen Wan II industry.

"Under the background of rising raw materials, the catering and tourism industry is the least injured, because the industry's ability to shift costs is strong, and the situation of high gross margins will continue."

Guotai Junan an analyst pointed out that, however, the traditional tourism industry is labor-intensive industries, although the gross profit margin is high, but also should pay attention to see its net profit margin is low.

As for the prospect of the industry, Zhou Sili, an analyst with Northeast Securities, pointed out that under the pull of the three driving forces of performance driven, policy favorable and holiday effect, the boom of the catering and tourism industry has been rising and the fundamentals of the industry are good.

The average gross profit rate of beverage manufacturing industry reached 58.24% in 2011, of which the wine and liquor industry's gross margin level was the highest, reaching 72.38% and 71.89% respectively. Since 2008, under the effect of price increase, the gross profit margin of these two sub sectors has steadily increased over the years.

Among them, Guizhou Moutai (600519.SH), the first brand of liquor, is proud of the A share listed companies with a gross margin of 91.57%. It ranks among the ten largest and most profiteering companies in A shares.

The "profiteering" of the expressway industry can not be ignored. Its average gross profit margin in 2011 reached 55.05%, of which the highest gross profit margin of Luqiao (600106.SH) in Chongqing even reached 91.14%.