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Venus Pipes & Tubes (BOM:543528) Operating Margin % : 13.98% (As of Dec. 2024)


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What is Venus Pipes & Tubes Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Venus Pipes & Tubes's Operating Income for the three months ended in Dec. 2024 was ₹323 Mil. Venus Pipes & Tubes's Revenue for the three months ended in Dec. 2024 was ₹2,313 Mil. Therefore, Venus Pipes & Tubes's Operating Margin % for the quarter that ended in Dec. 2024 was 13.98%.

Good Sign:

Venus Pipes & Tubes Ltd operating margin is expanding. Margin expansion is usually a good sign.

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

BOM:543528' s Operating Margin % Range Over the Past 10 Years
Min: 5.9   Med: 11.65   Max: 17.15
Current: 16.92


BOM:543528's Operating Margin % is ranked better than
92.17% of 613 companies
in the Steel industry
Industry Median: 3.46 vs BOM:543528: 16.92

Venus Pipes & Tubes's 5-Year Average Operating Margin % Growth Rate was 24.00% per year.

Venus Pipes & Tubes's Operating Income for the three months ended in Dec. 2024 was ₹323 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2024 was ₹1,535 Mil.


Venus Pipes & Tubes Operating Margin % Historical Data

The historical data trend for Venus Pipes & Tubes'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.

Venus Pipes & Tubes Operating Margin % Chart

Venus Pipes & Tubes Annual Data
Trend Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Operating Margin %
Get a 7-Day Free Trial 5.90 10.98 12.67 12.32 17.15

Venus Pipes & Tubes Quarterly Data
Mar19 Mar20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 17.07 19.94 18.16 15.86 13.98

Competitive Comparison of Venus Pipes & Tubes's Operating Margin %

For the Steel subindustry, Venus Pipes & Tubes'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.


Venus Pipes & Tubes's Operating Margin % Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, Venus Pipes & Tubes's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Venus Pipes & Tubes's Operating Margin % falls into.


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Venus Pipes & Tubes 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.

Venus Pipes & Tubes'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 )
=1345.5 / 7847.3
=17.15 %

Venus Pipes & Tubes's Operating Margin % for the quarter that ended in Dec. 2024 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2024 ) / Revenue (Q: Dec. 2024 )
=323.44 / 2313.03
=13.98 %

* 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.


Venus Pipes & Tubes  (BOM:543528) 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.


Venus Pipes & Tubes Operating Margin % Related Terms

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Venus Pipes & Tubes Business Description

Traded in Other Exchanges
Address
Sector 1/A, Plot no. 275, Tripada Complex, Near Mamlatdar Office, Gandhidham, GJ, IND, 370201
Venus Pipes & Tubes Ltd is a manufacturer and exporter of stainless steel pipes and tubes. It manufactures stainless steel tube products in two broad categories namely seamless tubes/pipes and welded tubes/pipes under which five categories of products are manufactured namely, stainless steel high precision and heat exchanger tubes, stainless steel hydraulic and instrumentation tubes, stainless steel seamless pipes, stainless steel welded pipes and stainless steel lsaw pipes. The company distributes its products through direct supply, traders, stockists, and selected marketing representatives. Geographically, it derives a majority of its revenue from India and also engages in exporting its products to other countries.

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