Regional Express Holdings (ASX:REX) Operating Margin %: -1.30% (As of Dec. 2023)


ASX:REX Regional Express Holdings Ltd ASX:REX
4 GF Score
Price A$0.57
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What is Regional Express Holdings Operating Margin %?

Regional Express Holdings ASX:REX 4 Operating Margin % is -1.30% as of Dec. 2023. GuruFocus rates ASX:REX with a GF Score™ of 4/100.

Operating Margin % is calculated as Operating Income divided by its Revenue. Regional Express Holdings's Operating Income for the six months ended in Dec. 2023 was A$-4.5 Mil. Regional Express Holdings's Revenue for the six months ended in Dec. 2023 was A$346.6 Mil. Therefore, Regional Express Holdings's Operating Margin % for the quarter that ended in Dec. 2023 was -1.30%.

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


ASX:REX's Operating Margin % is not ranked *
in the Transportation industry.
Industry Median: 7.36
* Ranked among companies with meaningful Operating Margin % only.

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

Regional Express Holdings's Operating Income for the six months ended in Dec. 2023 was A$-4.5 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was A$-9.1 Mil.


Regional Express Holdings  (ASX:REX) 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.


Regional Express Holdings Operating Margin % Related Terms


Regional Express Holdings Operating Margin % Historical Data

* Premium members only.

The historical data trend for Regional Express Holdings'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.

Regional Express Holdings Operating Margin % Chart

Regional Express Holdings Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.98 -9.80 -60.38 -49.73 -6.38

Regional Express Holdings Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 -99.56 -28.40 -10.73 -1.54 -1.30

ASX:REX vs DAL, LUV, UAL: Operating Margin % Comparison

For the Airlines subindustry, Regional Express Holdings'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.


Regional Express Holdings Operating Margin % vs Transportation Industry

For the Transportation industry and Industrials sector, Regional Express Holdings's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Regional Express Holdings's Operating Margin % falls into.


ASX:REX
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Regional Express Holdings Ltd ASX:REX
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Regional Express Holdings 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.

Regional Express Holdings's Operating Margin % for the fiscal year that ended in Jun. 2023 is calculated as

Operating Margin %=Operating Income (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=-40.064 / 628.409
=-6.38 %

Regional Express Holdings's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=-4.516 / 346.612
=-1.30 %

* 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 -1.30% mean?
Regional Express Holdings (ASX:REX) has a Operating Margin % of -1.30% as of Dec. 2023. Operating margin is the ratio of total operating income to net sales. View historical data on Regional Express Holdings and its competitors.
Is Regional Express Holdings' Operating Margin % too high?
Regional Express Holdings' current Operating Margin % is -1.30%. Overall, Regional Express Holdings has a GF Score™ of 4/100, reflecting its overall financial health beyond just this single metric.
How does Regional Express Holdings' Operating Margin % compare to DAL and LUV?
Regional Express Holdings' Operating Margin % of -1.30% can be compared against companies in the Transportation industry. The industry median Operating Margin % is 7.36. 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 Transportation company?
The median Operating Margin % among Transportation companies is 7.36, based on 1,007 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. 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 Regional Express Holdings and its competitors. For the Transportation industry, the median Operating Margin % is 7.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Regional Express Holdings's current Operating Margin % is -1.30%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Regional Express Holdings stock overvalued right now?
Regional Express Holdings (ASX:REX) has a current Operating Margin % of -1.30%. The current Operating Margin % is -1.30%. Regional Express Holdings' overall GF Score™ is 4/100. 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 Regional Express Holdings (ASX:REX), the current Operating Margin % is -1.30% as of Dec. 2023. 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.

Regional Express Holdings Business Description

Address 81-83 Baxter Road, Mascot, Sydney, NSW, AUS, 2020
Regional Express Holdings Ltd is an Australian-based airline company. The company is engaged in the provision of air services for the transportation of passengers and freight. Its operating segment includes Regular public transport, Charter and other, and Training. The company generates maximum revenue from the Regular public transport segment. Some of its services include Web Check-in; Print Invoices; Safe Hand Baggage; Travel Insurance and others.
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