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Infinity Development Holdings Co (HKSE:00640) Operating Margin % : 18.26% (As of Sep. 2024)


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What is Infinity Development Holdings Co Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Infinity Development Holdings Co's Operating Income for the six months ended in Sep. 2024 was HK$73.7 Mil. Infinity Development Holdings Co's Revenue for the six months ended in Sep. 2024 was HK$403.8 Mil. Therefore, Infinity Development Holdings Co's Operating Margin % for the quarter that ended in Sep. 2024 was 18.26%.

Good Sign:

Infinity Development Holdings Co Ltd operating margin is expanding. Margin expansion is usually a good sign.

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

HKSE:00640' s Operating Margin % Range Over the Past 10 Years
Min: 5.78   Med: 9.13   Max: 16.03
Current: 16.03


HKSE:00640's Operating Margin % is ranked better than
85.41% of 1528 companies
in the Chemicals industry
Industry Median: 5.845 vs HKSE:00640: 16.03

Infinity Development Holdings Co's 5-Year Average Operating Margin % Growth Rate was 6.50% per year.

Infinity Development Holdings Co's Operating Income for the six months ended in Sep. 2024 was HK$73.7 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was HK$118.0 Mil.


Infinity Development Holdings Co Operating Margin % Historical Data

The historical data trend for Infinity Development Holdings 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.

Infinity Development Holdings Co Operating Margin % Chart

Infinity Development Holdings Co Annual Data
Trend Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.29 10.22 8.50 11.06 16.03

Infinity Development Holdings Co Semi-Annual Data
Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 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 9.34 8.43 14.08 13.32 18.26

Competitive Comparison of Infinity Development Holdings Co's Operating Margin %

For the Specialty Chemicals subindustry, Infinity Development Holdings 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.


Infinity Development Holdings Co's Operating Margin % Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Infinity Development Holdings Co's Operating Margin % distribution charts can be found below:

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



Infinity Development Holdings 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.

Infinity Development Holdings Co's Operating Margin % for the fiscal year that ended in Sep. 2024 is calculated as

Operating Margin %=Operating Income (A: Sep. 2024 ) / Revenue (A: Sep. 2024 )
=118.025 / 736.338
=16.03 %

Infinity Development Holdings 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 )
=73.734 / 403.84
=18.26 %

* 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.


Infinity Development Holdings Co  (HKSE:00640) 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.


Infinity Development Holdings Co Operating Margin % Related Terms

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Infinity Development Holdings Co Business Description

Traded in Other Exchanges
N/A
Address
16 Andar A - D, Macau Finance Centre, Rua de Pequim No. 202A - 246, Macau, MAC
Infinity Development Holdings Co Ltd is an investment holding company. Through its subsidiaries, the company focuses on manufacturing and selling adhesives, primers, hardeners, vulcanized shoes, and adhesive-related products for the footwear industry. The company's products are predominantly sold under the Guarandure and Zhong Bu brands. Its geographical segments include China, Vietnam, Indonesia, Bangladesh, and India. A majority of its revenue is generated from Vietnam.
Executives
Chan Sut Kuan 2202 Interest of your spouse
Ieong Un 2101 Beneficial owner
All Reach Investments Limited 2101 Beneficial owner

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