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WT Financial Group (ASX:WTL) Operating Margin % : 2.83% (As of Dec. 2023)


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What is WT Financial Group Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. WT Financial Group's Operating Income for the six months ended in Dec. 2023 was A$2.3 Mil. WT Financial Group's Revenue for the six months ended in Dec. 2023 was A$79.6 Mil. Therefore, WT Financial Group's Operating Margin % for the quarter that ended in Dec. 2023 was 2.83%.

The historical rank and industry rank for WT Financial Group's Operating Margin % or its related term are showing as below:

ASX:WTL' s Operating Margin % Range Over the Past 10 Years
Min: -69.79   Med: -1.9   Max: 19.94
Current: 3.08


ASX:WTL's Operating Margin % is ranked worse than
62.96% of 629 companies
in the Asset Management industry
Industry Median: 15.32 vs ASX:WTL: 3.08

WT Financial Group's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

WT Financial Group's Operating Income for the six months ended in Dec. 2023 was A$2.3 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was A$4.9 Mil.

Warning Sign:

WT Financial Group Ltd has recorded a loss in operating income at least once over the past 3 years.


WT Financial Group Operating Margin % Historical Data

The historical data trend for WT Financial Group'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.

WT Financial Group Operating Margin % Chart

WT Financial Group Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only -10.75 -3.30 -9.19 1.49 2.28

WT Financial Group Semi-Annual Data
Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 1.65 1.41 1.26 3.34 2.83

Competitive Comparison of WT Financial Group's Operating Margin %

For the Asset Management subindustry, WT Financial Group'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.


WT Financial Group's Operating Margin % Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, WT Financial Group's Operating Margin % distribution charts can be found below:

* The bar in red indicates where WT Financial Group's Operating Margin % falls into.



WT Financial Group 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.

WT Financial Group's Operating Margin % for the fiscal year that ended in Jun. 2023 is calculated as

Operating Margin %=Operating Income (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=3.653 / 160.512
=2.28 %

WT Financial Group's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=2.255 / 79.604
=2.83 %

* 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.


WT Financial Group  (ASX:WTL) 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.


WT Financial Group Operating Margin % Related Terms

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


WT Financial Group (ASX:WTL) Business Description

Traded in Other Exchanges
N/A
Address
95 Pitt Street, Level 5, Australia Square Plaza Building, Sydney, NSW, AUS, 2000
WT Financial Group Ltd is a diversified financial services company. The company's operating segment includes B2B and B2C. It includes financial planning, investment advice and product sales; Accounting and taxation services, and others. It generates maximum revenue from the financial planning, investment advice and product sales segment. Its Financial planning, investment advice and product sales segment include the provision of a diverse range of financial services encompassing financial planning in self-managed superannuation funds (SMSFs) and direct and SMSF residential real estate investment.

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