Empresa Siderurgica del PeruA (LIM:SIDERC1) Net Margin %: 6.99% (As of Dec. 2016)


What is Empresa Siderurgica del PeruA Net Margin %?

Empresa Siderurgica del PeruA LIM:SIDERC1 +0.41% Net Margin % is 6.99% as of Dec. 2016.

Net margin is calculated as Net Income divided by its Revenue. Empresa Siderurgica del PeruA's Net Income for the six months ended in Dec. 2016 was S/.100 Mil. Empresa Siderurgica del PeruA's Revenue for the six months ended in Dec. 2016 was S/.1,438 Mil. Therefore, Empresa Siderurgica del PeruA's net margin for the quarter that ended in Dec. 2016 was 6.99%.

The historical rank and industry rank for Empresa Siderurgica del PeruA's Net Margin % or its related term are showing as below:


LIM:SIDERC1's Net Margin % is not ranked *
in the Steel industry.
Industry Median: 1.86
* Ranked among companies with meaningful Net Margin % only.

Empresa Siderurgica del PeruA  (LIM:SIDERC1) 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.

Empresa Siderurgica del PeruA Net Margin % Related Terms

Empresa Siderurgica del PeruA Net Margin % Historical Data

* Premium members only.

The historical data trend for Empresa Siderurgica del PeruA'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.

Empresa Siderurgica del PeruA Net Margin % Chart

Empresa Siderurgica del PeruA Annual Data
Trend Dec08 Dec09 Dec10 Dec14 Dec15 Dec16
Net Margin %
Get a 7-Day Free Trial -10.46 5.22 -12.74 0.97 6.99

Empresa Siderurgica del PeruA Semi-Annual Data
Dec08 Dec09 Dec10 Dec14 Dec15 Dec16
Net Margin % Get a 7-Day Free Trial -10.46 5.22 -12.74 0.97 6.99

Empresa Siderurgica del PeruA Net Margin % Competitor Comparison

For the Steel subindustry, Empresa Siderurgica del PeruA'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.

Empresa Siderurgica del PeruA Net Margin % vs Steel Industry

For the Steel industry and Basic Materials sector, Empresa Siderurgica del PeruA's Net Margin % distribution charts can be found below:

* The bar in red indicates where Empresa Siderurgica del PeruA's Net Margin % falls into.


Empresa Siderurgica del PeruA Net Margin % Calculation

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

Empresa Siderurgica del PeruA's Net Margin for the fiscal year that ended in Dec. 2016 is calculated as

Net Margin=Net Income (A: Dec. 2016 )/Revenue (A: Dec. 2016 )
=100.447/1437.931
=6.99 %

Empresa Siderurgica del PeruA's Net Margin for the quarter that ended in Dec. 2016 is calculated as

Net Margin=Net Income (Q: Dec. 2016 )/Revenue (Q: Dec. 2016 )
=100.447/1437.931
=6.99 %

* 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.

Frequently Asked Questions Learn more about Net Margin % →
What does a Net Margin % of 6.99% mean?
Empresa Siderurgica del PeruA (LIM:SIDERC1) has a Net Margin % of 6.99% as of Dec. 2016. Net margin is the ratio of total net income to net sales. View historical data on Empresa Siderurgica del PeruA and its competitors.
Is Empresa Siderurgica del PeruA's Net Margin % too high?
Empresa Siderurgica del PeruA's current Net Margin % is 6.99%. The Steel industry median Net Margin % is 1.86. Empresa Siderurgica del PeruA's value of 6.99% is 275.8% above this industry median.
How does Empresa Siderurgica del PeruA's Net Margin % compare to competitors?
Empresa Siderurgica del PeruA's Net Margin % of 6.99% can be compared against companies in the Steel industry. The industry median Net Margin % is 1.86. Empresa Siderurgica del PeruA's value of 6.99% is 275.8% 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 Steel company?
The median Net Margin % among Steel companies is 1.86, based on 615 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. Empresa Siderurgica del PeruA's current Net Margin % of 6.99% is 275.8% 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 Empresa Siderurgica del PeruA and its competitors. For the Steel industry, the median Net Margin % is 1.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Empresa Siderurgica del PeruA's current Net Margin % is 6.99%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Empresa Siderurgica del PeruA stock overvalued right now?
Empresa Siderurgica del PeruA (LIM:SIDERC1) has a current Net Margin % of 6.99%. The current Net Margin % is 6.99% and 275.8% above the Steel industry median of 1.86. 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 Empresa Siderurgica del PeruA (LIM:SIDERC1), the current Net Margin % is 6.99% as of Dec. 2016. 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.

Empresa Siderurgica del PeruA Business Description

Address Avenue Juan de Arona 151, Tower B, Floor 5, Lima, PER
Empresa Siderurgica del Peru SAA is a steel manufacturing company. The company produces long steel designed for the construction and mining industry. The company provides long, flat, tubular, and road products.