Olam Group (FRA:K25) Operating Margin %: 5.08% (As of Dec. 2025) — Near Median


FRA:K25 Olam Group Ltd FRA:K25
48 GF Score
Price €0.83
GF Value €0.54
Valuation Significantly Overvalued
! 12 Warning Signs
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What is Olam Group Operating Margin %?

Olam Group FRA:K25 -1.20% 48 Operating Margin % is 5.08% as of Dec. 2025, which is 4% above its 10-year median of 4.87. GuruFocus rates FRA:K25 with a GF Score™ of 48/100 and a GF Value™ of €0.54 (Significantly Overvalued). The stock has 12 warning signs investors should review. Among 310 Retail - Defensive companies, Olam Group ranks better than 69.03% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Olam Group's Operating Income for the six months ended in Dec. 2025 was €482 Mil. Olam Group's Revenue for the six months ended in Dec. 2025 was €9,484 Mil. Therefore, Olam Group's Operating Margin % for the quarter that ended in Dec. 2025 was 5.08%.

Warning Sign:

Olam Group Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -5.4%.

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

FRA:K25' s Operating Margin % Range Over the Past 10 Years
Min: 2.47   Med: 4.87   Max: 7.56
Current: 5.18


FRA:K25's Operating Margin % is ranked better than
69.03% of 310 companies
in the Retail - Defensive industry
Industry Median: 3.275 vs FRA:K25: 5.18

Olam Group's 5-Year Average Operating Margin % Growth Rate was -5.40% per year.

Olam Group's Operating Income for the six months ended in Dec. 2025 was €482 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was €1,026 Mil.


Olam Group  (FRA:K25) 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.


Olam Group Operating Margin % Related Terms


Olam Group Operating Margin % Historical Data

* Premium members only.

The historical data trend for Olam Group'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.

Olam Group Operating Margin % Chart

Olam Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.26 4.37 4.48 6.47 5.25

Olam Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 5.03 6.74 6.05 5.27 5.08

FRA:K25 vs SYY, USFD, PFGC: Operating Margin % Comparison

For the Food Distribution subindustry, Olam Group'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.


Olam Group Operating Margin % vs Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Olam Group's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Olam Group's Operating Margin % falls into.


FRA:K25
48GF Score
Olam Group Ltd FRA:K25
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Olam Group 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.

Olam Group's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=1027.502 / 19584.946
=5.25 %

Olam Group's Operating Margin % for the quarter that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=481.963 / 9483.621
=5.08 %

* 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 5.08% mean?
Olam Group (FRA:K25) has a Operating Margin % of 5.08% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Olam Group and its competitors. This is near median its historical median of 4.87. Over the past decade, Olam Group's Operating Margin % has ranged from 2.47 to 7.56. According to the industry distribution chart, Olam Group ranks #96 out of 310 companies in the Retail - Defensive industry, placing it in the top 31%.
Is Olam Group's Operating Margin % too high?
Olam Group's current Operating Margin % of 5.08% is near median its 10-year median of 4.87. Over the past 10 years, this metric has ranged from a low of 2.47 to a high of 7.56. The Retail - Defensive industry median Operating Margin % is 3.28. Olam Group's value of 5.08% is 55.1% above this industry median. Based on the distribution chart, Olam Group ranks #96 out of 310 companies in the Retail - Defensive industry, which is above the industry midpoint. Overall, Olam Group has a GF Score™ of 48/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Olam Group's Operating Margin % compare to SYY and USFD?
According to the Retail - Defensive industry distribution chart, Olam Group ranks #96 out of 310 companies for Operating Margin %. This puts Olam Group in the upper half of its industry. The industry median Operating Margin % is 3.28. Olam Group's value of 5.08% is 55.1% above this benchmark. Historically, Olam Group's own Operating Margin % has ranged from 2.47 to 7.56 over the past decade. While the company's 10-year median is 4.87 vs. the industry median of 3.28, Olam Group has consistently been above the industry average. 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 Retail - Defensive company?
The median Operating Margin % among Retail - Defensive companies is 3.28, based on 310 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. Olam Group's current Operating Margin % of 5.08% is 55.1% 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 Olam Group and its competitors. For the Retail - Defensive industry, the median Operating Margin % is 3.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Olam Group's current Operating Margin % is 5.08%, which is near median its own 10-year median of 4.87. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Olam Group stock overvalued right now?
Based on GuruFocus' analysis, Olam Group (FRA:K25) is currently considered Significantly Overvalued. The stock's GF Value™ is €0.54, compared to a current price of €0.83 — trading 52.8% above its estimated fair value. The current Operating Margin % is 5.08%, which is near median its 10-year median of 4.87 and 55.1% above the Retail - Defensive industry median of 3.28. Olam Group's overall GF Score™ is 48/100 with 12 warning signs to review. 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 Olam Group (FRA:K25), the current Operating Margin % is 5.08% as of Dec. 2025. 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.

Is Olam Group (FRA:K25) Overvalued in 2026?

Based on GuruFocus' analysis, Olam Group stock appears to be overvalued. The current stock price of €0.83 is trading 52.8% above its estimated GF Value™ of €0.54. GuruFocus considers Olam Group to be Significantly Overvalued.

Key valuation signals for FRA:K25:

  • Operating Margin %: 5.08% (near median its 10-year median of 4.87)
  • GF Value™: €0.54 vs. price of €0.83 (52.8% above fair value)
  • GF Score™: 48/100 with 12 warning signs
  • Industry Position: 55.1% above the Retail - Defensive median (#96 of 310)

No single metric tells the full story. See the FRA:K25 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Olam Group Business Description

Other Exchanges OLGPF:USAVC2:Singapore
Address 7 Straits View, No. 20-01, Marina One East Tower, Singapore, SGP, 018936
Olam Group Ltd is a food and agri-business supplying customers with food ingredients, feed, and fibre. The company and its subsidiaries operate in the following business segments: Olam Food Ingredients and the Remaining Olam Group. It generates maximum revenue from the Olam Food Ingredients segment, which includes Cocoa, Coffee, Nuts, Spices, and Dairy. Geographically, the company derives the majority of its revenue from Asia, the Middle East, and Australia, and the rest from Africa, Europe, and the Americas.
48GF Score

Get the complete analysis for FRA:K25

Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€0.83
Price
€0.54
GF Value