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AHCHF (Anhui Conch Cement Co) Operating Margin % : 8.27% (As of Sep. 2024)


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What is Anhui Conch Cement Co Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Anhui Conch Cement Co's Operating Income for the three months ended in Sep. 2024 was $264 Mil. Anhui Conch Cement Co's Revenue for the three months ended in Sep. 2024 was $3,192 Mil. Therefore, Anhui Conch Cement Co's Operating Margin % for the quarter that ended in Sep. 2024 was 8.27%.

Warning Sign:

Anhui Conch Cement Co Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -21.8%.

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

AHCHF' s Operating Margin % Range Over the Past 10 Years
Min: 7.28   Med: 23.79   Max: 30.32
Current: 7.28


AHCHF's Operating Margin % is ranked worse than
50.26% of 392 companies
in the Building Materials industry
Industry Median: 7.4 vs AHCHF: 7.28

Anhui Conch Cement Co's 5-Year Average Operating Margin % Growth Rate was -21.80% per year.

Anhui Conch Cement Co's Operating Income for the three months ended in Sep. 2024 was $264 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was $1,118 Mil.


Anhui Conch Cement Co Operating Margin % Historical Data

The historical data trend for Anhui Conch Cement Co'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.

Anhui Conch Cement Co Operating Margin % Chart

Anhui Conch Cement Co 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 27.00 23.97 23.65 12.82 8.49

Anhui Conch Cement Co Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 7.32 6.00 6.82 8.97 8.27

Competitive Comparison of Anhui Conch Cement Co's Operating Margin %

For the Building Materials subindustry, Anhui Conch Cement Co'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.


Anhui Conch Cement Co's Operating Margin % Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Anhui Conch Cement Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Anhui Conch Cement Co's Operating Margin % falls into.



Anhui Conch Cement Co 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.

Anhui Conch Cement Co'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 )
=1676.318 / 19747.266
=8.49 %

Anhui Conch Cement Co's Operating Margin % for the quarter that ended in Sep. 2024 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2024 ) / Revenue (Q: Sep. 2024 )
=263.981 / 3191.738
=8.27 %

* 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.


Anhui Conch Cement Co  (OTCPK:AHCHF) 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.


Anhui Conch Cement Co Operating Margin % Related Terms

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Anhui Conch Cement Co Business Description

Address
No. 39 Wenhua Road, Anhui Province, Wuhu, CHN, 241000
Anhui Conch Cement mainly engages in the production and sale of cement, clinker, and concrete in China. The company was established in 1997 and headquartered in Anhui province. With annual cement production capacity of 395 million metric tons in 2023, the firm is the second-largest cement manufacturer in China. Sales of self-produced products contribute to about 80% of its revenue, with the remainder mainly from the trading business and service income.

Anhui Conch Cement Co Headlines

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