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Arabian Cement Co (CAI:ARCC) Operating Margin % : 18.00% (As of Sep. 2024)


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What is Arabian Cement Co Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Arabian Cement Co's Operating Income for the three months ended in Sep. 2024 was E£439 Mil. Arabian Cement Co's Revenue for the three months ended in Sep. 2024 was E£2,441 Mil. Therefore, Arabian Cement Co's Operating Margin % for the quarter that ended in Sep. 2024 was 18.00%.

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

CAI:ARCC' s Operating Margin % Range Over the Past 10 Years
Min: -3.13   Med: 12.23   Max: 26.47
Current: 18.95


CAI:ARCC's Operating Margin % is ranked better than
85.17% of 391 companies
in the Building Materials industry
Industry Median: 7.28 vs CAI:ARCC: 18.95

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

Arabian Cement Co's Operating Income for the three months ended in Sep. 2024 was E£439 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was E£1,483 Mil.


Arabian Cement Co Operating Margin % Historical Data

The historical data trend for Arabian 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.

Arabian Cement Co Operating Margin % Chart

Arabian 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 3.26 -3.13 3.23 14.08 17.94

Arabian 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 14.85 22.43 23.68 13.04 18.00

Competitive Comparison of Arabian Cement Co's Operating Margin %

For the Building Materials subindustry, Arabian 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.


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

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

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



Arabian 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.

Arabian 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 )
=1083.856 / 6042.831
=17.94 %

Arabian 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 )
=439.385 / 2441.401
=18.00 %

* 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.


Arabian Cement Co  (CAI:ARCC) 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.


Arabian Cement Co Operating Margin % Related Terms

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Arabian Cement Co Business Description

Traded in Other Exchanges
N/A
Address
Gamal Abdel Naser Square (Gharb Arabella), Fifth Settlement Arabella Plaza, 5th Floor, Office Building (A), New Cairo, EGY, 11835
Arabian Cement Co is engaged in the business of manufacturing and selling clinker, cement, and other related products and usage of mines and extraction of all mining materials required to produce construction materials and road transportation of all the company's products. The company sells its products in Egypt and exports it to other countries, of which key revenue is derived within Egypt. Its products include Clinker, Cement and Concrete. Some of its brands are Al Mosalah and Al Nasr. It also offers delivery services through Express Wassal.