KONE Oyj (FRA:KC4) Operating Margin %: 10.45% (As of Mar. 2026) — 14% Below Median


FRA:KC4 KONE Oyj FRA:KC4
77 GF Score
Price €49.27
GF Value €52.00
Valuation Fairly Valued
! 3 Warning Signs
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What is KONE Oyj Operating Margin %?

KONE Oyj FRA:KC4 -1.46% 77 Operating Margin % is 10.45% as of Mar. 2026, which is 14% below its 10-year median of 12.14. GuruFocus rates FRA:KC4 with a GF Score™ of 77/100 and a GF Value™ of €52.00 (Fairly Valued). The stock has 3 warning signs investors should review. Among 3,038 Industrial Products companies, KONE Oyj ranks better than 73.34% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. KONE Oyj's Operating Income for the three months ended in Mar. 2026 was €283 Mil. KONE Oyj's Revenue for the three months ended in Mar. 2026 was €2,708 Mil. Therefore, KONE Oyj's Operating Margin % for the quarter that ended in Mar. 2026 was 10.45%.

Warning Sign:

KONE Oyj operating margin has been in a 5-year decline. The average rate of decline per year is -1.3%.

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

FRA:KC4' s Operating Margin % Range Over the Past 10 Years
Min: 9.87   Med: 12.14   Max: 14.72
Current: 11.9


FRA:KC4's Operating Margin % is ranked better than
73.34% of 3038 companies
in the Industrial Products industry
Industry Median: 6.53 vs FRA:KC4: 11.90

KONE Oyj's 5-Year Average Operating Margin % Growth Rate was -1.30% per year.

KONE Oyj's Operating Income for the three months ended in Mar. 2026 was €283 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was €1,342 Mil.


KONE Oyj  (FRA:KC4) 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.


KONE Oyj Operating Margin % Related Terms


KONE Oyj Operating Margin % Historical Data

* Premium members only.

The historical data trend for KONE Oyj'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.

KONE Oyj Operating Margin % Chart

KONE Oyj 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 12.46 9.87 11.40 11.25 11.88

KONE Oyj Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 10.36 11.86 12.10 13.07 10.45

FRA:KC4 vs GEV, ETN, PH: Operating Margin % Comparison

For the Specialty Industrial Machinery subindustry, KONE Oyj'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.


KONE Oyj Operating Margin % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, KONE Oyj's Operating Margin % distribution charts can be found below:

* The bar in red indicates where KONE Oyj's Operating Margin % falls into.


FRA:KC4
77GF Score
KONE Oyj FRA:KC4
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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KONE Oyj 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.

KONE Oyj'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 )
=1336.1 / 11245.2
=11.88 %

KONE Oyj's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=283 / 2708.3
=10.45 %

* 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 10.45% mean?
KONE Oyj (FRA:KC4) has a Operating Margin % of 10.45% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on KONE Oyj and its competitors. This is 14% below median its historical median of 12.14. Over the past decade, KONE Oyj's Operating Margin % has ranged from 9.87 to 14.72. According to the industry distribution chart, KONE Oyj ranks #810 out of 3038 companies in the Industrial Products industry, placing it in the top 26.7%.
Is KONE Oyj's Operating Margin % too high?
KONE Oyj's current Operating Margin % of 10.45% is 14% below median its 10-year median of 12.14. Over the past 10 years, this metric has ranged from a low of 9.87 to a high of 14.72. The Industrial Products industry median Operating Margin % is 6.53. KONE Oyj's value of 10.45% is 60% above this industry median. Based on the distribution chart, KONE Oyj ranks #810 out of 3038 companies in the Industrial Products industry, which is above the industry midpoint. Overall, KONE Oyj has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does KONE Oyj's Operating Margin % compare to GEV and ETN?
According to the Industrial Products industry distribution chart, KONE Oyj ranks #810 out of 3038 companies for Operating Margin %. This puts KONE Oyj in the upper half of its industry. The industry median Operating Margin % is 6.53. KONE Oyj's value of 10.45% is 60% above this benchmark. Historically, KONE Oyj's own Operating Margin % has ranged from 9.87 to 14.72 over the past decade. While the company's 10-year median is 12.14 vs. the industry median of 6.53, KONE Oyj 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 an Industrial Products company?
The median Operating Margin % among Industrial Products companies is 6.53, based on 3,038 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. KONE Oyj's current Operating Margin % of 10.45% is 60% 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 KONE Oyj and its competitors. For the Industrial Products industry, the median Operating Margin % is 6.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. KONE Oyj's current Operating Margin % is 10.45%, which is 14% below median its own 10-year median of 12.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is KONE Oyj stock overvalued right now?
Based on GuruFocus' analysis, KONE Oyj (FRA:KC4) is currently considered Fairly Valued. The stock's GF Value™ is €52.00, compared to a current price of €49.27 — trading 5.2% below its estimated fair value. The current Operating Margin % is 10.45%, which is 14% below median its 10-year median of 12.14 and 60% above the Industrial Products industry median of 6.53. KONE Oyj's overall GF Score™ is 77/100 with 3 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 KONE Oyj (FRA:KC4), the current Operating Margin % is 10.45% as of Mar. 2026. 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 KONE Oyj (FRA:KC4) Overvalued in 2026?

Based on GuruFocus' analysis, KONE Oyj stock appears to be undervalued. The current stock price of €49.27 is trading 5.2% below its estimated GF Value™ of €52.00. GuruFocus considers KONE Oyj to be Fairly Valued.

Key valuation signals for FRA:KC4:

  • Operating Margin %: 10.45% (14% below median its 10-year median of 12.14)
  • GF Value™: €52.00 vs. price of €49.27 (5.2% below fair value)
  • GF Score™: 77/100 with 3 warning signs
  • Industry Position: 60% above the Industrial Products median (#810 of 3038)

No single metric tells the full story. See the FRA:KC4 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


KONE Oyj Business Description

Address Keilasatama 3, P.O. Box 7, Espoo, FIN, 02150
Kone is a global top-four supplier of elevators and escalators. Kone began producing elevators in Finland in 1918 and today generates revenue in three ways: selling new elevators and escalators, modernizing old equipment, and servicing its installed base. Most of the company's profit comes from the last activity, where contracts are rolled over annually with built-in price increases. The bulk of Kone's business is in elevators, which are more numerous globally than escalators. Its business model is similar to closest competitors Otis, Schindler, and TK Elevator.
77GF Score

Get the complete analysis for FRA:KC4

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

€49.27
Price
€52.00
GF Value