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Shanghai Huace Navigation Technology (SZSE:300627) Operating Margin % : 19.33% (As of Mar. 2024)


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What is Shanghai Huace Navigation Technology Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Shanghai Huace Navigation Technology's Operating Income for the three months ended in Mar. 2024 was ¥119 Mil. Shanghai Huace Navigation Technology's Revenue for the three months ended in Mar. 2024 was ¥617 Mil. Therefore, Shanghai Huace Navigation Technology's Operating Margin % for the quarter that ended in Mar. 2024 was 19.33%.

Good Sign:

Shanghai Huace Navigation Technology Ltd operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for Shanghai Huace Navigation Technology's Operating Margin % or its related term are showing as below:

SZSE:300627' s Operating Margin % Range Over the Past 10 Years
Min: 8.73   Med: 15.15   Max: 22.18
Current: 18.21


SZSE:300627's Operating Margin % is ranked better than
92.2% of 2463 companies
in the Hardware industry
Industry Median: 3.37 vs SZSE:300627: 18.21

Shanghai Huace Navigation Technology's 5-Year Average Operating Margin % Growth Rate was 4.40% per year.

Shanghai Huace Navigation Technology's Operating Income for the three months ended in Mar. 2024 was ¥119 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was ¥507 Mil.


Shanghai Huace Navigation Technology Operating Margin % Historical Data

The historical data trend for Shanghai Huace Navigation Technology'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.

Shanghai Huace Navigation Technology Operating Margin % Chart

Shanghai Huace Navigation Technology 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 15.39 17.80 14.91 15.51 17.63

Shanghai Huace Navigation Technology Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 16.54 14.34 17.94 20.75 19.33

Competitive Comparison of Shanghai Huace Navigation Technology's Operating Margin %

For the Scientific & Technical Instruments subindustry, Shanghai Huace Navigation Technology'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.


Shanghai Huace Navigation Technology's Operating Margin % Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Shanghai Huace Navigation Technology's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Shanghai Huace Navigation Technology's Operating Margin % falls into.



Shanghai Huace Navigation Technology 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.

Shanghai Huace Navigation Technology'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 )
=472.21 / 2678.341
=17.63 %

Shanghai Huace Navigation Technology's Operating Margin % for the quarter that ended in Mar. 2024 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=119.265 / 616.911
=19.33 %

* 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.


Shanghai Huace Navigation Technology  (SZSE:300627) 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.


Shanghai Huace Navigation Technology Operating Margin % Related Terms

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Shanghai Huace Navigation Technology (SZSE:300627) Business Description

Traded in Other Exchanges
N/A
Address
No. 599, Gaojing Road, 3rd Floor, Building D, Qingpu District, Shanghai, CHN, 201702
Shanghai Huace Navigation Technology Ltd manufactures satellite navigation and positioning systems and equipment, geographic information and disaster monitoring system and equipment. It provides positioning solutions for surveying, construction, GIS and marine applications in various countries. The company offers products for GIS data collection, GNSS infrastructure, unmanned aircraft systems, marine construction, optical surveying, GNSS survey and engineering, and precision agriculture.

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