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Kingfisher (Kingfisher) Operating Margin %

: 3.31% (As of Jan. 2024)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Kingfisher's Operating Income for the six months ended in Jan. 2024 was $257 Mil. Kingfisher's Revenue for the six months ended in Jan. 2024 was $7,751 Mil. Therefore, Kingfisher's Operating Margin % for the quarter that ended in Jan. 2024 was 3.31%.

Warning Sign:

Kingfisher PLC operating margin has been in a 5-year decline. The average rate of decline per year is -4.4%.

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

KGFHY' s Operating Margin % Range Over the Past 10 Years
Min: 4.48   Med: 5.98   Max: 8.64
Current: 4.48


KGFHY's Operating Margin % is ranked better than
55.52% of 1106 companies
in the Retail - Cyclical industry
Industry Median: 3.485 vs KGFHY: 4.48

Kingfisher's 5-Year Average Operating Margin % Growth Rate was -4.40% per year.

Kingfisher's Operating Income for the six months ended in Jan. 2024 was $257 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jan. 2024 was $745 Mil.


Kingfisher Operating Margin % Historical Data

The historical data trend for Kingfisher'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.

Kingfisher Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.79 7.46 8.64 5.50 4.48

Kingfisher Semi-Annual Data
Jul14 Jan15 Jul15 Jan16 Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24
Operating Margin % 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 Premium Member Only Premium Member Only Premium Member Only 6.68 7.53 3.28 5.51 3.31

Competitive Comparison

For the Home Improvement Retail subindustry, Kingfisher'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.


Kingfisher Operating Margin % Distribution

For the Retail - Cyclical industry and Consumer Cyclical sector, Kingfisher's Operating Margin % distribution charts can be found below:

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



Kingfisher 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.

Kingfisher's Operating Margin % for the fiscal year that ended in Jan. 2024 is calculated as

Operating Margin %=Operating Income (A: Jan. 2024 ) / Revenue (A: Jan. 2024 )
=738.247 / 16493.011
=4.48 %

Kingfisher'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 )
=256.671 / 7750.953
=3.31 %

* 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.


Kingfisher  (OTCPK:KGFHY) 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.


Kingfisher Operating Margin % Related Terms

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


Kingfisher (Kingfisher) Business Description

Traded in Other Exchanges
Address
1 Paddington Square, London, GBR, W2 1GG
Kingfisher is a home improvement company with over 1,570 stores in eight countries across Europe. The company operates several retail banners that are focused on trade customers and general do-it-yourself needs. Kingfisher's main retail brands include B&Q, Screwfix, and TradePoint in the United Kingdom and Castorama and Brico Depot in France. The U.K. and France are Kingfisher's largest markets, accounting for 81% of sales. The company is the second-largest DIY retailer in Europe, with a leading position in the U.K. and a number-two position in France.

Kingfisher (Kingfisher) Headlines

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