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Canaf Investments (TSXV:CAF) Operating Margin % : 5.00% (As of Jan. 2024)


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What is Canaf Investments Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Canaf Investments's Operating Income for the three months ended in Jan. 2024 was C$0.48 Mil. Canaf Investments's Revenue for the three months ended in Jan. 2024 was C$9.62 Mil. Therefore, Canaf Investments's Operating Margin % for the quarter that ended in Jan. 2024 was 5.00%.

Good Sign:

Canaf Investments Inc operating margin is expanding. Margin expansion is usually a good sign.

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

TSXV:CAF' s Operating Margin % Range Over the Past 10 Years
Min: -5.66   Med: 6.53   Max: 9.35
Current: 8.53


TSXV:CAF's Operating Margin % is ranked better than
71.03% of 604 companies
in the Steel industry
Industry Median: 4.42 vs TSXV:CAF: 8.53

Canaf Investments's 5-Year Average Operating Margin % Growth Rate was 15.80% per year.

Canaf Investments's Operating Income for the three months ended in Jan. 2024 was C$0.48 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jan. 2024 was C$3.02 Mil.


Canaf Investments Operating Margin % Historical Data

The historical data trend for Canaf Investments'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.

Canaf Investments Operating Margin % Chart

Canaf Investments Annual Data
Trend Oct14 Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.81 8.06 7.48 7.29 9.35

Canaf Investments Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
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 7.40 10.74 9.03 9.96 5.00

Competitive Comparison of Canaf Investments's Operating Margin %

For the Coking Coal subindustry, Canaf Investments'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.


Canaf Investments's Operating Margin % Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, Canaf Investments's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Canaf Investments's Operating Margin % falls into.



Canaf Investments 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.

Canaf Investments's Operating Margin % for the fiscal year that ended in Oct. 2023 is calculated as

Operating Margin %=Operating Income (A: Oct. 2023 ) / Revenue (A: Oct. 2023 )
=3.024 / 32.326
=9.35 %

Canaf Investments's Operating Margin % for the quarter that ended in Jan. 2024 is calculated as

Operating Margin %=Operating Income (Q: Jan. 2024 ) / Revenue (Q: Jan. 2024 )
=0.481 / 9.616
=5.00 %

* 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.


Canaf Investments  (TSXV:CAF) 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.


Canaf Investments Operating Margin % Related Terms

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


Canaf Investments (TSXV:CAF) Business Description

Traded in Other Exchanges
Address
1111 Melville Street, Suite 1100, Vancouver, BC, CAN, V6E 3V6
Canaf Investments Inc is a Canadian company that owns and operates a coal processing plant in South Africa that processes coal and coal products into calcine, a coke substitute with high carbon content. The company, through its subsidiaries, produces calcined anthracite used in the manufacturing process of steel and manganese. The company operates in two reportable segments are Canada and South Africa, out of which the majority of revenue comes from South Africa.
Executives
Monita Faris Director

Canaf Investments (TSXV:CAF) Headlines