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Herald Holdings (HKSE:00114) Operating Margin % : 1.44% (As of Sep. 2023)


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What is Herald Holdings Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Herald Holdings's Operating Income for the six months ended in Sep. 2023 was HK$5.8 Mil. Herald Holdings's Revenue for the six months ended in Sep. 2023 was HK$406.8 Mil. Therefore, Herald Holdings's Operating Margin % for the quarter that ended in Sep. 2023 was 1.44%.

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

HKSE:00114' s Operating Margin % Range Over the Past 10 Years
Min: -8.73   Med: 0.45   Max: 7.45
Current: 3.06


HKSE:00114's Operating Margin % is ranked worse than
66.18% of 819 companies
in the Travel & Leisure industry
Industry Median: 8.28 vs HKSE:00114: 3.06

Herald Holdings's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Herald Holdings's Operating Income for the six months ended in Sep. 2023 was HK$5.8 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2023 was HK$26.4 Mil.

Warning Sign:

Herald Holdings Ltd has recorded a loss in operating income at least once over the past 3 years.


Herald Holdings Operating Margin % Historical Data

The historical data trend for Herald Holdings'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.

Herald Holdings Operating Margin % Chart

Herald Holdings Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -8.73 1.01 - -6.23 7.45

Herald Holdings Semi-Annual Data
Mar14 Sep14 Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
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 -6.48 -6.00 9.11 4.51 1.44

Competitive Comparison of Herald Holdings's Operating Margin %

For the Leisure subindustry, Herald Holdings'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.


Herald Holdings's Operating Margin % Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Herald Holdings's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Herald Holdings's Operating Margin % falls into.



Herald Holdings 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.

Herald Holdings's Operating Margin % for the fiscal year that ended in Mar. 2023 is calculated as

Operating Margin %=Operating Income (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=94.135 / 1262.978
=7.45 %

Herald Holdings's Operating Margin % for the quarter that ended in Sep. 2023 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=5.847 / 406.783
=1.44 %

* 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.


Herald Holdings  (HKSE:00114) 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.


Herald Holdings Operating Margin % Related Terms

Thank you for viewing the detailed overview of Herald Holdings's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Herald Holdings (HKSE:00114) Business Description

Traded in Other Exchanges
N/A
Address
89 Queensway, Lippo Centre, Room 3110, 31 Floor, Tower Two, Hong Kong, HKG
Herald Holdings Ltd is an investment holding company. It operates in the segments of Toys, Computer Products, Timepieces, Investments, and Others. The group derives majority revenue from the Toys segment which involves the manufacturing of wide range of toys including action figures, electronic radio-controlled toy cars and boats, electronic games, and pre-school toys. The company along with its subsidiaries is also engaged in the manufacture, sale, and distribution of computer products, housewares, clocks, watches, and electronic and gift products. The company has the majority of its customers based in Hong Kong, North America, the United Kingdom, Europe, Asia, Mainland China, and Others. It generates the highest revenue from the North America region.
Executives
Dorfman Robert 2101 Beneficial owner
Dorfman Tillman Sheri 2202 Interest of your spouse
Dingler Trina Elaine 2202 Interest of your spouse
Cheung Tsang Kay Stan 2307 Founder of a discretionary trust who can infl
Ng Yiu Chi Eleanor 2202 Interest of your spouse
Hsbc International Trustee Limited 2301 Trustee
Moral Excel Holdings Limited 2201 Interest of corporation controlled by you

Herald Holdings (HKSE:00114) Headlines

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