Generation Next Fashions (DHA:GENNEXT) Operating Margin %: 8.67% (As of Mar. 2024)


DHA:GENNEXT Generation Next Fashions Ltd DHA:GENNEXT
5 GF Score
Price BDT3.00
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What is Generation Next Fashions Operating Margin %?

Generation Next Fashions DHA:GENNEXT -3.23% 5 Operating Margin % is 8.67% as of Mar. 2024. GuruFocus rates DHA:GENNEXT with a GF Score™ of 5/100.

Operating Margin % is calculated as Operating Income divided by its Revenue. Generation Next Fashions's Operating Income for the three months ended in Mar. 2024 was BDT113 Mil. Generation Next Fashions's Revenue for the three months ended in Mar. 2024 was BDT1,309 Mil. Therefore, Generation Next Fashions's Operating Margin % for the quarter that ended in Mar. 2024 was 8.67%.

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


DHA:GENNEXT's Operating Margin % is not ranked *
in the Manufacturing - Apparel & Accessories industry.
Industry Median: 4.08
* Ranked among companies with meaningful Operating Margin % only.

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

Generation Next Fashions's Operating Income for the three months ended in Mar. 2024 was BDT113 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was BDT196 Mil.


Generation Next Fashions  (DHA:GENNEXT) 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.


Generation Next Fashions Operating Margin % Related Terms


Generation Next Fashions Operating Margin % Historical Data

* Premium members only.

The historical data trend for Generation Next Fashions'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.

Generation Next Fashions Operating Margin % Chart

Generation Next Fashions Annual Data
Trend Dec14 Dec15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.91 7.22 9.32 7.48 6.81

Generation Next Fashions 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 5.54 12.81 -34.00 12.45 8.67

DHA:GENNEXT vs RL, LEVI, VFC: Operating Margin % Comparison

For the Apparel Manufacturing subindustry, Generation Next Fashions'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.


Generation Next Fashions Operating Margin % vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Generation Next Fashions's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Generation Next Fashions's Operating Margin % falls into.


DHA:GENNEXT
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Generation Next Fashions Ltd DHA:GENNEXT
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Generation Next Fashions 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.

Generation Next Fashions'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 )
=406.206 / 5961.462
=6.81 %

Generation Next Fashions'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 )
=113.472 / 1308.849
=8.67 %

* 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 8.67% mean?
Generation Next Fashions (DHA:GENNEXT) has a Operating Margin % of 8.67% as of Mar. 2024. Operating margin is the ratio of total operating income to net sales. View historical data on Generation Next Fashions and its competitors.
Is Generation Next Fashions' Operating Margin % too high?
Generation Next Fashions' current Operating Margin % is 8.67%. The Manufacturing - Apparel & Accessories industry median Operating Margin % is 4.08. Generation Next Fashions' value of 8.67% is 112.5% above this industry median. Overall, Generation Next Fashions has a GF Score™ of 5/100, reflecting its overall financial health beyond just this single metric.
How does Generation Next Fashions' Operating Margin % compare to RL and LEVI?
Generation Next Fashions' Operating Margin % of 8.67% can be compared against companies in the Manufacturing - Apparel & Accessories industry. The industry median Operating Margin % is 4.08. Generation Next Fashions' value of 8.67% is 112.5% above this benchmark. 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 Manufacturing - Apparel & Accessories company?
The median Operating Margin % among Manufacturing - Apparel & Accessories companies is 4.08, based on 1,041 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. Generation Next Fashions's current Operating Margin % of 8.67% is 112.5% above 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 Generation Next Fashions and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Operating Margin % is 4.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Generation Next Fashions's current Operating Margin % is 8.67%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Generation Next Fashions stock overvalued right now?
Generation Next Fashions (DHA:GENNEXT) has a current Operating Margin % of 8.67%. The current Operating Margin % is 8.67% and 112.5% above the Manufacturing - Apparel & Accessories industry median of 4.08. Generation Next Fashions' overall GF Score™ is 5/100. 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 Generation Next Fashions (DHA:GENNEXT), the current Operating Margin % is 8.67% as of Mar. 2024. 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.

Generation Next Fashions Business Description

Address Building No. 348, Road No. 5, DOHS Baridhara, Dhaka, BGD, 1206
Generation Next Fashions Ltd is a textile and apparel company. The company is engaged in the knitting, dying, and manufacturing of textiles and readymade garments. The company offers wearable goods for Men, Women, and Kids. It offers products such as T-shirts, trousers, hoodies, jackets, nightwear, and others.
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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