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HKT Trust and HKT (HKSE:06823) Operating Margin % : 25.90% (As of Dec. 2023)


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What is HKT Trust and HKT Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. HKT Trust and HKT's Operating Income for the six months ended in Dec. 2023 was HK$4,643 Mil. HKT Trust and HKT's Revenue for the six months ended in Dec. 2023 was HK$17,930 Mil. Therefore, HKT Trust and HKT's Operating Margin % for the quarter that ended in Dec. 2023 was 25.90%.

Good Sign:

HKT Trust and HKT Ltd operating margin is expanding. Margin expansion is usually a good sign.

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

HKSE:06823' s Operating Margin % Range Over the Past 10 Years
Min: 15.11   Med: 21.3   Max: 23.96
Current: 23.16


HKSE:06823's Operating Margin % is ranked better than
84.51% of 381 companies
in the Telecommunication Services industry
Industry Median: 8.26 vs HKSE:06823: 23.16

HKT Trust and HKT's 5-Year Average Operating Margin % Growth Rate was 0.20% per year.

HKT Trust and HKT's Operating Income for the six months ended in Dec. 2023 was HK$4,643 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was HK$7,952 Mil.


HKT Trust and HKT Operating Margin % Historical Data

The historical data trend for HKT Trust and HKT'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.

HKT Trust and HKT Operating Margin % Chart

HKT Trust and HKT 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 23.96 23.08 21.40 21.68 23.16

HKT Trust and HKT Semi-Annual Data
Jun14 Dec14 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 Premium Member Only Premium Member Only 23.47 18.62 24.43 20.18 25.90

Competitive Comparison of HKT Trust and HKT's Operating Margin %

For the Telecom Services subindustry, HKT Trust and HKT'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.


HKT Trust and HKT's Operating Margin % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, HKT Trust and HKT's Operating Margin % distribution charts can be found below:

* The bar in red indicates where HKT Trust and HKT's Operating Margin % falls into.



HKT Trust and HKT 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.

HKT Trust and HKT'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 )
=7952 / 34330
=23.16 %

HKT Trust and HKT'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 )
=4643 / 17930
=25.90 %

* 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.


HKT Trust and HKT  (HKSE:06823) 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.


HKT Trust and HKT Operating Margin % Related Terms

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HKT Trust and HKT (HKSE:06823) Business Description

Traded in Other Exchanges
Address
979 King’s Road, Quarry Bay, 39th Floor, PCCW Tower, Taikoo Place, Hong Kong, HKG
HKT Trust and HKT Ltd is a triple-play telecommunications provider that operates through three segments, telecommunications services, mobile, and Other businesses. Telecommunication services are the larger business segment and generates revenue by providing voice services, broadband services, local and international data services, and the sales of equipment. The company's mobile segment generates revenue by selling mobile services and handsets. The Other Businesses segment primarily comprises new business areas such as Tap & Go mobile payment service and The Club program, and corporate support functions. The company owns fiber and mobile infrastructure. HKT Trust generate the vast majority of its revenue in Hong Kong.

HKT Trust and HKT (HKSE:06823) Headlines

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