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Nikkiso Co (FRA:NKO) Operating Margin % : 2.05% (As of Sep. 2024)


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What is Nikkiso Co Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Nikkiso Co's Operating Income for the three months ended in Sep. 2024 was €6 Mil. Nikkiso Co's Revenue for the three months ended in Sep. 2024 was €309 Mil. Therefore, Nikkiso Co's Operating Margin % for the quarter that ended in Sep. 2024 was 2.05%.

Warning Sign:

Nikkiso Co Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -5.5%.

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

FRA:NKO' s Operating Margin % Range Over the Past 10 Years
Min: 1.86   Med: 6.24   Max: 19.32
Current: 3.76


FRA:NKO's Operating Margin % is ranked worse than
65.04% of 2986 companies
in the Industrial Products industry
Industry Median: 6.755 vs FRA:NKO: 3.76

Nikkiso Co's 5-Year Average Operating Margin % Growth Rate was -5.50% per year.

Nikkiso Co's Operating Income for the three months ended in Sep. 2024 was €6 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was €49 Mil.


Nikkiso Co Operating Margin % Historical Data

The historical data trend for Nikkiso 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.

Nikkiso Co Operating Margin % Chart

Nikkiso Co Annual Data
Trend Mar14 Mar15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.52 6.45 1.86 19.32 3.06

Nikkiso 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 3.62 7.08 2.69 2.64 2.05

Competitive Comparison of Nikkiso Co's Operating Margin %

For the Specialty Industrial Machinery subindustry, Nikkiso 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.


Nikkiso Co's Operating Margin % Distribution in the Industrial Products Industry

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

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



Nikkiso 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.

Nikkiso 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 )
=37.481 / 1226.83
=3.06 %

Nikkiso 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 )
=6.322 / 309.035
=2.05 %

* 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.


Nikkiso Co  (FRA:NKO) 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.


Nikkiso Co Operating Margin % Related Terms

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Nikkiso Co Business Description

Traded in Other Exchanges
Address
4-20-3, Ebisu, Shibuya-ku, Tokyo, JPN, 150-6022
Nikkiso Co Ltd is a Japan-based industrial company that operates through four divisions. The industrial division manufactures and distributes fluid equipment for process industries. The precision equipment business division manufactures and sells water conditioning systems, particle characterization instruments, multilayer ceramic electronic components production equipment, and systems. The aerospace division manufactures, distributes, and consults for carbon-fiber-reinforced plastic products. The medical division manufactures and sells hemodialysis machines, dialyzers, blood tubing sets, and other products. The company has a presence, with the majority of its sales coming from Japan, Asia excluding Japan, North America, and Europe.

Nikkiso Co Headlines

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