Zoo Digital Group (LSE:ZOO) Net Margin %: -6.01% (As of Sep. 2025)


LSE:ZOO Zoo Digital Group PLC LSE:ZOO
50 GF Score
Price £0.12
GF Value £0.29
Valuation Possible Value Trap
! 4 Warning Signs
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What is Zoo Digital Group Net Margin %?

Zoo Digital Group LSE:ZOO 50 Net Margin % is -6.01% as of Sep. 2025. GuruFocus rates LSE:ZOO with a GF Score™ of 50/100 and a GF Value™ of £0.29 (Possible Value Trap). The stock has 4 warning signs investors should review. Among 2,825 Software companies, Zoo Digital Group ranks worse than 75.15% on this metric.

Net margin is calculated as Net Income divided by its Revenue. Zoo Digital Group's Net Income for the six months ended in Sep. 2025 was £-1.00 Mil. Zoo Digital Group's Revenue for the six months ended in Sep. 2025 was £16.57 Mil. Therefore, Zoo Digital Group's net margin for the quarter that ended in Sep. 2025 was -6.01%.

The historical rank and industry rank for Zoo Digital Group's Net Margin % or its related term are showing as below:

LSE:ZOO' s Net Margin % Range Over the Past 10 Years
Min: -53.97   Med: -2.85   Max: 9.12
Current: -15.3


LSE:ZOO's Net Margin % is ranked worse than
75.15% of 2825 companies
in the Software industry
Industry Median: 2.54 vs LSE:ZOO: -15.30

Zoo Digital Group  (LSE:ZOO) 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.


Zoo Digital Group Net Margin % Related Terms


Zoo Digital Group Net Margin % Historical Data

* Premium members only.

The historical data trend for Zoo Digital Group'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.

Zoo Digital Group Net Margin % Chart

Zoo Digital Group Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Net Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -8.00 1.94 9.12 -53.97 -16.10

Zoo Digital Group Semi-Annual Data
Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25
Net 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 -47.81 -60.83 -9.52 -24.34 -6.01

LSE:ZOO vs CRM, SHOP, UBER: Net Margin % Comparison

For the Software - Application subindustry, Zoo Digital Group'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.


Zoo Digital Group Net Margin % vs Software Industry

For the Software industry and Technology sector, Zoo Digital Group's Net Margin % distribution charts can be found below:

* The bar in red indicates where Zoo Digital Group's Net Margin % falls into.


LSE:ZOO
50GF Score
Zoo Digital Group PLC LSE:ZOO
Net Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Zoo Digital Group 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.

Zoo Digital Group's Net Margin for the fiscal year that ended in Mar. 2025 is calculated as

Net Margin=Net Income (A: Mar. 2025 )/Revenue (A: Mar. 2025 )
=-6.177/38.367
=-16.10 %

Zoo Digital Group's Net Margin for the quarter that ended in Sep. 2025 is calculated as

Net Margin=Net Income (Q: Sep. 2025 )/Revenue (Q: Sep. 2025 )
=-0.996/16.565
=-6.01 %

* 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 -6.01% mean?
Zoo Digital Group (LSE:ZOO) has a Net Margin % of -6.01% as of Sep. 2025. Net margin is the ratio of total net income to net sales. View historical data on Zoo Digital Group and its competitors. According to the industry distribution chart, Zoo Digital Group ranks #2123 out of 2825 companies in the Software industry, placing it in the top 75.2%.
Is Zoo Digital Group's Net Margin % too high?
Zoo Digital Group's current Net Margin % is -6.01%. Based on the distribution chart, Zoo Digital Group ranks #2123 out of 2825 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Zoo Digital Group has a GF Score™ of 50/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Zoo Digital Group's Net Margin % compare to CRM and SHOP?
According to the Software industry distribution chart, Zoo Digital Group ranks #2123 out of 2825 companies for Net Margin %. This places Zoo Digital Group in the lower half of its industry. The industry median Net Margin % is 2.54. 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 Software company?
The median Net Margin % among Software companies is 2.54, based on 2,825 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. 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 Zoo Digital Group and its competitors. For the Software industry, the median Net Margin % is 2.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zoo Digital Group's current Net Margin % is -6.01%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zoo Digital Group stock overvalued right now?
Based on GuruFocus' analysis, Zoo Digital Group (LSE:ZOO) is currently considered Possible Value Trap. The stock's GF Value™ is £0.29, compared to a current price of £0.12 — trading 60.3% below its estimated fair value. The current Net Margin % is -6.01%. Zoo Digital Group's overall GF Score™ is 50/100 with 4 warning signs to review. 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 Zoo Digital Group (LSE:ZOO), the current Net Margin % is -6.01% as of Sep. 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.

Is Zoo Digital Group (LSE:ZOO) Overvalued in 2026?

Based on GuruFocus' analysis, Zoo Digital Group stock appears to be undervalued. The current stock price of £0.12 is trading 60.3% below its estimated GF Value™ of £0.29. GuruFocus considers Zoo Digital Group to be Possible Value Trap.

Key valuation signals for LSE:ZOO:

  • Net Margin %: -6.01%
  • GF Value™: £0.29 vs. price of £0.12 (60.3% below fair value)
  • GF Score™: 50/100 with 4 warning signs

No single metric tells the full story. See the LSE:ZOO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Zoo Digital Group Business Description

Other Exchanges ZDGGF:USA
Address Angel Street, Floor 2, Castle House, Sheffield, GBR, S3 8LN
Zoo Digital Group PLC through its subsidiaries provides cloud technology services. Its services are used for digital content authoring, video post-production, and localisation for entertainment, publishing, and packaging markets. The company's operating segment includes Media Production and Software solutions. Media Production includes localisation and media services. It generates maximum revenue from the Media Production segment. Geographically, it operates in the United Kingdom and the United States, out of which it derives the majority of its revenue from the United States.
50GF Score

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Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£0.12
Price
£0.29
GF Value