GURUFOCUS.COM » STOCK LIST » Basic Materials » Chemicals » Malion New Materials Co Ltd (SZSE:300586) » Definitions » Operating Margin %

Malion New Materials Co (SZSE:300586) Operating Margin % : 4.61% (As of Jun. 2024)


View and export this data going back to 2017. Start your Free Trial

What is Malion New Materials Co Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Malion New Materials Co's Operating Income for the three months ended in Jun. 2024 was ¥20 Mil. Malion New Materials Co's Revenue for the three months ended in Jun. 2024 was ¥431 Mil. Therefore, Malion New Materials Co's Operating Margin % for the quarter that ended in Jun. 2024 was 4.61%.

Good Sign:

Malion New Materials Co Ltd operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for Malion New Materials Co's Operating Margin % or its related term are showing as below:

SZSE:300586' s Operating Margin % Range Over the Past 10 Years
Min: 6.4   Med: 12.16   Max: 24.32
Current: 7.28


SZSE:300586's Operating Margin % is ranked better than
56.61% of 1528 companies
in the Chemicals industry
Industry Median: 5.935 vs SZSE:300586: 7.28

Malion New Materials Co's 5-Year Average Operating Margin % Growth Rate was 11.50% per year.

Malion New Materials Co's Operating Income for the three months ended in Jun. 2024 was ¥20 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2024 was ¥128 Mil.

Warning Sign:

Malion New Materials Co Ltd has recorded a loss in operating income at least once over the past 3 years.


Malion New Materials Co Operating Margin % Historical Data

The historical data trend for Malion New Materials Co's Operating 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.

Malion New Materials Co Operating Margin % Chart

Malion New Materials Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.30 6.40 9.29 24.32 11.97

Malion New Materials Co Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
Operating 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 13.49 2.68 11.33 10.14 4.61

Competitive Comparison of Malion New Materials Co's Operating Margin %

For the Specialty Chemicals subindustry, Malion New Materials Co's Operating Margin %, along with its competitors' market caps and Operating 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.


Malion New Materials Co's Operating Margin % Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Malion New Materials Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Malion New Materials Co's Operating Margin % falls into.



Malion New Materials Co Operating Margin % Calculation

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Malion New Materials Co's Operating Margin % for the fiscal year that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=224.03 / 1870.932
=11.97 %

Malion New Materials Co's Operating Margin % for the quarter that ended in Jun. 2024 is calculated as

Operating Margin %=Operating Income (Q: Jun. 2024 ) / Revenue (Q: Jun. 2024 )
=19.859 / 431.16
=4.61 %

* 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.


Malion New Materials Co  (SZSE:300586) Operating Margin % Explanation

Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.


Be Aware

Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia’s Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Malion New Materials Co Operating Margin % Related Terms

Thank you for viewing the detailed overview of Malion New Materials Co's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Malion New Materials Co Business Description

Traded in Other Exchanges
N/A
Address
No. 01 Meilian Road, Guangdong Province, Shantou, CHN, 515064
Malion New Materials Co Ltd is engaged in manufacturing of masterbatch in China. Its products include white masterbatch, black masterbatch, color masterbatch, additive masterbatch and functional materials. They are widely used in food packaging products, medicine packaging products, personal care products, plastic tubing, engineering plastic, plastic household products, electric wire and cable, consumer products, auto plastic parts, agricultural production and others. The products are distributed to both Chinese and other international markets.
Executives
Duan Wen Yong Directors, Directors, and Executives
Li Xiao Jie Supervisors
Zhang Chao Yi Directors, executives
Zhuo Shu Biao Directors, executives

Malion New Materials Co Headlines

No Headlines