Labat AfricaJSE:LAB +66.67% Net Margin % is 29.51% as of Nov. 2025. The stock has 5 warning signs investors should review. Among 956 Drug Manufacturers companies, Labat Africa ranks better than 97.8% on this metric.
Net margin is calculated as Net Income divided by its Revenue. Labat Africa's Net Income for the
six
months ended in Nov. 2025 was R44.5 Mil. Labat Africa's Revenue for the
six
months ended in Nov. 2025 was R150.9 Mil. Therefore, Labat Africa's net margin for the quarter that ended in Nov. 2025 was 29.51%.
The historical rank and industry rank for Labat Africa's Net Margin % or its related term are showing as below:
JSE:LAB'
s Net Margin % Range Over the Past 10 Years
Min: -175.44 Med: -22.12 Max: 58.66
Current: 48.83
JSE:LAB's Net Margin % is ranked better than 97.8% of 956
companies
in the Drug Manufacturers industry
Industry Median: 5.56
vs JSE:LAB: 48.83
Labat Africa (JSE:LAB) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Labat Africa Net Margin % Related Terms
Labat Africa Net Margin % Historical Data
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The historical data trend for Labat Africa's Net 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.
JSE:LAB vs ZTS, UTHR, VTRS: Net Margin % Comparison
For the Drug Manufacturers - Specialty & Generic subindustry, Labat Africa's Net Margin %, along with its competitors' market caps and Net 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.
Labat Africa Net Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Labat Africa's Net Margin % distribution charts can be found below:
* The bar in red indicates where Labat Africa's Net Margin % falls into.
* 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.
Labat Africa (JSE:LAB) has a Net Margin % of 29.51% as of Nov. 2025. Net margin is the ratio of total net income to net sales. View historical data on Labat Africa and its competitors. According to the industry distribution chart, Labat Africa ranks #21 out of 956 companies in the Drug Manufacturers industry, placing it in the top 2.2%.
Is Labat Africa's Net Margin % too high?
Labat Africa's current Net Margin % is 29.51%. The Drug Manufacturers industry median Net Margin % is 5.56. Labat Africa's value of 29.51% is 430.8% above this industry median. Based on the distribution chart, Labat Africa ranks #21 out of 956 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers.
How does Labat Africa's Net Margin % compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Labat Africa ranks #21 out of 956 companies for Net Margin %. This places Labat Africa in the top 2% of its industry — outperforming the majority of peers. The industry median Net Margin % is 5.56. Labat Africa's value of 29.51% is 430.8% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Drug Manufacturers company?
The median Net Margin % among Drug Manufacturers companies is 5.56, based on 956 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Labat Africa's current Net Margin % of 29.51% is 430.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Labat Africa and its competitors. For the Drug Manufacturers industry, the median Net Margin % is 5.56 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Labat Africa's current Net Margin % is 29.51%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Labat Africa stock overvalued right now?
Based on GuruFocus' analysis, Labat Africa (JSE:LAB) is currently considered Possible Value Trap. The stock's GF Value™ is R0.22, compared to a current price of R0.05 — trading 77.3% below its estimated fair value. The current Net Margin % is 29.51% and 430.8% above the Drug Manufacturers industry median of 5.56. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Labat Africa (JSE:LAB), the current Net Margin % is 29.51% as of Nov. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Labat Africa Ltd is an investment holding company. Through its subsidiaries, the company operates in the following segments; Technology, Head office, and Healthcare. The Technology segment manufactures and distributes integrated circuits South African Micro - Electronic Systems. Head office operations provide management services, logistics and seeks further investment opportunities for the Group. The Healthcare segment generates maximum revenue for the company and focusses on medical cannabis industry in South Africa. Geographically, the company carries out its business operations in South Africa.
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