Redsun Services Group (HKSE:01971) Operating Margin %: 12.33% (As of Dec. 2025) — 17% Below Median

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HKSE:01971 Redsun Services Group Ltd HKSE:01971
52 GF Score
Price HK$0.33
GF Value HK$0.40
Valuation Modestly Undervalued
! 5 Warning Signs
View Full Analysis

What is Redsun Services Group Operating Margin %?

Redsun Services Group HKSE:01971 52 Operating Margin % is 12.33% as of Dec. 2025, which is 17% below its 10-year median of 14.85. GuruFocus rates HKSE:01971 with a GF Score™ of 52/100 and a GF Value™ of HK$0.40 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 1,742 Real Estate companies, Redsun Services Group ranks worse than 50.34% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Redsun Services Group's Operating Income for the six months ended in Dec. 2025 was HK$60 Mil. Redsun Services Group's Revenue for the six months ended in Dec. 2025 was HK$487 Mil. Therefore, Redsun Services Group's Operating Margin % for the quarter that ended in Dec. 2025 was 12.33%.

Warning Sign:

Redsun Services Group Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -6.4%.

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

HKSE:01971' s Operating Margin % Range Over the Past 10 Years
Min: 9.57   Med: 14.85   Max: 16.9
Current: 13.17


HKSE:01971's Operating Margin % is ranked worse than
50.34% of 1742 companies
in the Real Estate industry
Industry Median: 13.31 vs HKSE:01971: 13.17

Redsun Services Group's 5-Year Average Operating Margin % Growth Rate was -6.40% per year.

Redsun Services Group's Operating Income for the six months ended in Dec. 2025 was HK$60 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was HK$138 Mil.


Redsun Services Group  (HKSE:01971) 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.


Redsun Services Group Operating Margin % Related Terms


Redsun Services Group Operating Margin % Historical Data

* Premium members only.

The historical data trend for Redsun Services 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.

Redsun Services Group Operating Margin % Chart

Redsun Services Group Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only 16.90 12.01 14.85 9.57 13.18

Redsun Services Group Semi-Annual Data
Dec17 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 14.90 20.67 0.37 13.91 12.33

HKSE:01971 vs CBRE, BEKE, JLL: Operating Margin % Comparison

For the Real Estate Services subindustry, Redsun Services 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.


Redsun Services Group Operating Margin % vs Real Estate Industry

For the Real Estate industry and Real Estate sector, Redsun Services Group's Operating Margin % distribution charts can be found below:

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


HKSE:01971
52GF Score
Redsun Services Group Ltd HKSE:01971
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Redsun Services 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.

Redsun Services 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 )
=138.486 / 1051.076
=13.18 %

Redsun Services 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 )
=60.058 / 487.257
=12.33 %

* 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 12.33% mean?
Redsun Services Group (HKSE:01971) has a Operating Margin % of 12.33% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Redsun Services Group and its competitors. This is 17% below median its historical median of 14.85. Over the past decade, Redsun Services Group's Operating Margin % has ranged from 9.57 to 16.90. According to the industry distribution chart, Redsun Services Group ranks #877 out of 1742 companies in the Real Estate industry, placing it in the top 50.3%.
Is Redsun Services Group's Operating Margin % too high?
Redsun Services Group's current Operating Margin % of 12.33% is 17% below median its 10-year median of 14.85. Over the past 10 years, this metric has ranged from a low of 9.57 to a high of 16.90. The Real Estate industry median Operating Margin % is 13.31. Redsun Services Group's value of 12.33% is 7.4% below this industry median. Based on the distribution chart, Redsun Services Group ranks #877 out of 1742 companies in the Real Estate industry, which is below the industry midpoint. Overall, Redsun Services Group has a GF Score™ of 52/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Redsun Services Group's Operating Margin % compare to CBRE and BEKE?
According to the Real Estate industry distribution chart, Redsun Services Group ranks #877 out of 1742 companies for Operating Margin %. This places Redsun Services Group in the lower half of its industry. The industry median Operating Margin % is 13.31. Redsun Services Group's value of 12.33% is 7.4% below this benchmark. Historically, Redsun Services Group's own Operating Margin % has ranged from 9.57 to 16.90 over the past decade. While the company's 10-year median is 14.85 vs. the industry median of 13.31, Redsun Services Group has consistently been below 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 Real Estate company?
The median Operating Margin % among Real Estate companies is 13.31, based on 1,742 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. Redsun Services Group's current Operating Margin % of 12.33% is 7.4% below 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 Redsun Services Group and its competitors. For the Real Estate industry, the median Operating Margin % is 13.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Redsun Services Group's current Operating Margin % is 12.33%, which is 17% below median its own 10-year median of 14.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Redsun Services Group stock overvalued right now?
Based on GuruFocus' analysis, Redsun Services Group (HKSE:01971) is currently considered Modestly Undervalued. The stock's GF Value™ is HK$0.40, compared to a current price of HK$0.33 — trading 18.8% below its estimated fair value. The current Operating Margin % is 12.33%, which is 17% below median its 10-year median of 14.85 and 7.4% below the Real Estate industry median of 13.31. Redsun Services Group's overall GF Score™ is 52/100 with 5 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 Redsun Services Group (HKSE:01971), the current Operating Margin % is 12.33% 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 Redsun Services Group (HKSE:01971) Overvalued in 2026?

Based on GuruFocus' analysis, Redsun Services Group stock appears to be undervalued. The current stock price of HK$0.33 is trading 18.8% below its estimated GF Value™ of HK$0.40. GuruFocus considers Redsun Services Group to be Modestly Undervalued.

Key valuation signals for HKSE:01971:

  • Operating Margin %: 12.33% (17% below median its 10-year median of 14.85)
  • GF Value™: HK$0.40 vs. price of HK$0.33 (18.8% below fair value)
  • GF Score™: 52/100 with 5 warning signs
  • Industry Position: 7.4% below the Real Estate median (#877 of 1742)

No single metric tells the full story. See the HKSE:01971 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Redsun Services Group Business Description

Address No. 9 Daqiao North Road, 25th Floor, Hong Yang Building, Pukou District, Jiangsu Province, Nanjing, CHN
Redsun Services Group Ltd was mainly involved in the provision of property management services, value-added services to non-property owners, community value-added services and other services. The company has one operating segment. The group provide a wide range of property management services to property owners, residents and tenants, value-added services to non-property owners (mainly property developers) and other property management companies, and community value-added services to residential property owners and residents. The majority of revenue comes from property management services which includes residents and tenants, including order maintenance, cleaning, landscaping, facilities management, customer services and repair and maintenance services.
52GF Score

Get the complete analysis for HKSE:01971

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

HK$0.33
Price
HK$0.40
GF Value