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Prime Securities (BOM:500337) Operating Margin % : 7.92% (As of Mar. 2024)


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What is Prime Securities Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Prime Securities's Operating Income for the three months ended in Mar. 2024 was ₹9.0 Mil. Prime Securities's Revenue for the three months ended in Mar. 2024 was ₹113.6 Mil. Therefore, Prime Securities's Operating Margin % for the quarter that ended in Mar. 2024 was 7.92%.

Warning Sign:

Prime Securities Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -6.9%.

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

BOM:500337' s Operating Margin % Range Over the Past 10 Years
Min: -247.15   Med: 36.56   Max: 78.75
Current: 30.46


BOM:500337's Operating Margin % is ranked better than
67.12% of 657 companies
in the Capital Markets industry
Industry Median: 14.67 vs BOM:500337: 30.46

Prime Securities's 5-Year Average Operating Margin % Growth Rate was -6.90% per year.

Prime Securities's Operating Income for the three months ended in Mar. 2024 was ₹9.0 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was ₹187.3 Mil.


Prime Securities Operating Margin % Historical Data

The historical data trend for Prime Securities'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.

Prime Securities Operating Margin % Chart

Prime Securities Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 42.51 20.23 36.06 21.16 30.47

Prime Securities Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 29.51 28.79 23.33 54.45 7.92

Competitive Comparison of Prime Securities's Operating Margin %

For the Capital Markets subindustry, Prime Securities'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.


Prime Securities's Operating Margin % Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Prime Securities's Operating Margin % distribution charts can be found below:

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



Prime Securities 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.

Prime Securities's Operating Margin % for the fiscal year that ended in Mar. 2024 is calculated as

Operating Margin %=Operating Income (A: Mar. 2024 ) / Revenue (A: Mar. 2024 )
=187.4 / 615.1
=30.47 %

Prime Securities's Operating Margin % for the quarter that ended in Mar. 2024 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=9 / 113.6
=7.92 %

* 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.


Prime Securities  (BOM:500337) 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.


Prime Securities Operating Margin % Related Terms

Thank you for viewing the detailed overview of Prime Securities's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Prime Securities (BOM:500337) Business Description

Traded in Other Exchanges
Address
1109/1110, Maker Chambers V, Nariman Point, Mumbai, MH, IND, 400021
Prime Securities Ltd is engaged in the provision of investment banking and corporate advisory services. The business activity of the group is operated through - Financial Advisory & Intermediation services and Brokerage from Mutual Fund distribution. The company is in providing value-added advice and services to clients on complex strategic and financial decisions and transactions focused on fundraising, mergers and acquisitions, equity and debt private placements, initial public offerings, corporate advisory, and capital restructuring. The company's business segment is providing merchant banking and advisory services. Geographically, all the activities function throughout the region of India.

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