COSOL (ASX:COS) Operating Margin %: 1.37% (As of Dec. 2025) — 91% Below Median


ASX:COS COSOL Ltd ASX:COS
37 GF Score
Price A$0.21
GF Value A$0.99
Valuation Possible Value Trap
! 5 Warning Signs
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What is COSOL Operating Margin %?

COSOL ASX:COS 37 Operating Margin % is 1.37% as of Dec. 2025, which is 91% below its 10-year median of 14.70. GuruFocus rates ASX:COS with a GF Score™ of 37/100 and a GF Value™ of A$0.99 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 2,820 Software companies, COSOL ranks better than 58.58% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. COSOL's Operating Income for the six months ended in Dec. 2025 was A$0.7 Mil. COSOL's Revenue for the six months ended in Dec. 2025 was A$49.6 Mil. Therefore, COSOL's Operating Margin % for the quarter that ended in Dec. 2025 was 1.37%.

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

ASX:COS' s Operating Margin % Range Over the Past 10 Years
Min: 6.46   Med: 14.7   Max: 16.26
Current: 6.46


ASX:COS's Operating Margin % is ranked better than
58.58% of 2820 companies
in the Software industry
Industry Median: 3.865 vs ASX:COS: 6.46

COSOL's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

COSOL's Operating Income for the six months ended in Dec. 2025 was A$0.7 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was A$7.0 Mil.


COSOL  (ASX:COS) 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.


COSOL Operating Margin % Related Terms


COSOL Operating Margin % Historical Data

* Premium members only.

The historical data trend for COSOL'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.

COSOL Operating Margin % Chart

COSOL Annual Data
Trend Sep19 Jun21 Jun22 Jun23 Jun24 Jun25
Operating Margin %
Get a 7-Day Free Trial 15.51 16.26 14.70 13.12 10.96

COSOL Semi-Annual Data
Sep19 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 11.59 14.54 11.19 10.73 1.37

ASX:COS vs IBM, ACN, FISV: Operating Margin % Comparison

For the Information Technology Services subindustry, COSOL'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.


COSOL Operating Margin % vs Software Industry

For the Software industry and Technology sector, COSOL's Operating Margin % distribution charts can be found below:

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


ASX:COS
37GF Score
COSOL Ltd ASX:COS
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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COSOL 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.

COSOL's Operating Margin % for the fiscal year that ended in Jun. 2025 is calculated as

Operating Margin %=Operating Income (A: Jun. 2025 ) / Revenue (A: Jun. 2025 )
=12.803 / 116.808
=10.96 %

COSOL's Operating Margin % for the quarter that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=0.679 / 49.628
=1.37 %

* 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 Operating Margin % →
What does a Operating Margin % of 1.37% mean?
COSOL (ASX:COS) has a Operating Margin % of 1.37% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on COSOL and its competitors. This is 91% below median its historical median of 14.70. Over the past decade, COSOL's Operating Margin % has ranged from 6.46 to 16.26. According to the industry distribution chart, COSOL ranks #1168 out of 2820 companies in the Software industry, placing it in the top 41.4%.
Is COSOL's Operating Margin % too high?
COSOL's current Operating Margin % of 1.37% is 91% below median its 10-year median of 14.70. Over the past 10 years, this metric has ranged from a low of 6.46 to a high of 16.26. The Software industry median Operating Margin % is 3.87. COSOL's value of 1.37% is 64.6% below this industry median. Based on the distribution chart, COSOL ranks #1168 out of 2820 companies in the Software industry, which is above the industry midpoint. Overall, COSOL has a GF Score™ of 37/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does COSOL's Operating Margin % compare to IBM and ACN?
According to the Software industry distribution chart, COSOL ranks #1168 out of 2820 companies for Operating Margin %. This puts COSOL in the upper half of its industry. The industry median Operating Margin % is 3.87. COSOL's value of 1.37% is 64.6% below this benchmark. Historically, COSOL's own Operating Margin % has ranged from 6.46 to 16.26 over the past decade. While the company's 10-year median is 14.70 vs. the industry median of 3.87, COSOL has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Margin % for a Software company?
The median Operating Margin % among Software companies is 3.87, based on 2,820 companies in the industry. Companies in the top quartile (top 25%) have a Operating Margin % significantly above this median, while those in the bottom quartile fall well below. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. COSOL's current Operating Margin % of 1.37% is 64.6% below 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 Operating Margin % mean?
A high Operating Margin % can signal that a stock is expensive relative to its fundamentals. Operating margin is the ratio of total operating income to net sales. View historical data on COSOL and its competitors. For the Software industry, the median Operating Margin % is 3.87 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. COSOL's current Operating Margin % is 1.37%, which is 91% below median its own 10-year median of 14.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is COSOL stock overvalued right now?
Based on GuruFocus' analysis, COSOL (ASX:COS) is currently considered Possible Value Trap. The stock's GF Value™ is A$0.99, compared to a current price of A$0.21 — trading 78.8% below its estimated fair value. The current Operating Margin % is 1.37%, which is 91% below median its 10-year median of 14.70 and 64.6% below the Software industry median of 3.87. COSOL's overall GF Score™ is 37/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Margin % calculated?
Operating Margin % is calculated from a company's financial statements. For COSOL (ASX:COS), the current Operating Margin % is 1.37% as of Dec. 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 COSOL (ASX:COS) Overvalued in 2026?

Based on GuruFocus' analysis, COSOL stock appears to be undervalued. The current stock price of A$0.21 is trading 78.8% below its estimated GF Value™ of A$0.99. GuruFocus considers COSOL to be Possible Value Trap.

Key valuation signals for ASX:COS:

  • Operating Margin %: 1.37% (91% below median its 10-year median of 14.70)
  • GF Value™: A$0.99 vs. price of A$0.21 (78.8% below fair value)
  • GF Score™: 37/100 with 5 warning signs
  • Industry Position: 64.6% below the Software median (#1168 of 2820)

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


COSOL Business Description

Address 490 Adelaide Street, Level 3, Brisbane, QLD, AUS, 4000
COSOL Ltd operates in the Information Technology(IT) and business services industry and provides EAM (enterprise asset management) related solutions and infrastructure-focused systems. It offers services such as digital business solutions which include business process and strategic reviews, implementation of enterprise resource planning (ERP)/EAM solutions, data migration, and ongoing support services to clients. The company's revenue is generated from EAM/ERP support services; data migration, and legacy data services. Its geographical segment includes COSOL Asia Pacific and COSOL North America. The company derives a majority of its revenue from the Asia Pacific region.
37GF Score

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

A$0.21
Price
A$0.99
GF Value