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Suzhou Basecare Medical (HKSE:02170) Operating Margin % : -113.53% (As of Dec. 2023)


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What is Suzhou Basecare Medical Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Suzhou Basecare Medical's Operating Income for the six months ended in Dec. 2023 was HK$-152.0 Mil. Suzhou Basecare Medical's Revenue for the six months ended in Dec. 2023 was HK$133.9 Mil. Therefore, Suzhou Basecare Medical's Operating Margin % for the quarter that ended in Dec. 2023 was -113.53%.

Warning Sign:

Suzhou Basecare Medical Corp Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -16.6%.

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

HKSE:02170' s Operating Margin % Range Over the Past 10 Years
Min: -162.25   Med: -121.34   Max: -18.43
Current: -117.03


HKSE:02170's Operating Margin % is ranked worse than
78.97% of 813 companies
in the Medical Devices & Instruments industry
Industry Median: 0.63 vs HKSE:02170: -117.03

Suzhou Basecare Medical's 5-Year Average Operating Margin % Growth Rate was -16.60% per year.

Suzhou Basecare Medical's Operating Income for the six months ended in Dec. 2023 was HK$-152.0 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was HK$-266.2 Mil.

Warning Sign:

Suzhou Basecare Medical Corp Ltd has never been profitable in the past 3 years. It lost money every year.


Suzhou Basecare Medical Operating Margin % Historical Data

The historical data trend for Suzhou Basecare Medical'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.

Suzhou Basecare Medical Operating Margin % Chart

Suzhou Basecare Medical Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial -18.43 -67.51 -125.65 -154.91 -117.03

Suzhou Basecare Medical Semi-Annual Data
Dec18 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only -159.93 -110.11 -197.39 -122.03 -113.53

Competitive Comparison of Suzhou Basecare Medical's Operating Margin %

For the Medical Devices subindustry, Suzhou Basecare Medical'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.


Suzhou Basecare Medical's Operating Margin % Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Suzhou Basecare Medical's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Suzhou Basecare Medical's Operating Margin % falls into.



Suzhou Basecare Medical 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.

Suzhou Basecare Medical'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 )
=-266.218 / 227.48
=-117.03 %

Suzhou Basecare Medical's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=-152.034 / 133.911
=-113.53 %

* 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.


Suzhou Basecare Medical  (HKSE:02170) 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.


Suzhou Basecare Medical Operating Margin % Related Terms

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Suzhou Basecare Medical (HKSE:02170) Business Description

Traded in Other Exchanges
N/A
Address
BioBay, No. 218 Xinghu Street, Unit 101, Building A3, Suzhou Industrial Park, Jiangsu Province, Suzhou, CHN, 215000
Suzhou Basecare Medical Corp Ltd is engaged in providing genetic testing solutions for assisted human reproduction. The company generates revenues from Sales of testing kits, followed by Sales of testing devices and instruments. Basecare focuses on the assisted reproductive sector, such as pre-implantation genetic screening and diagnosis, non-invasive prenatal DNA testing, and chromosome abnormalities testing. It generates revenue from China.
Executives
Orbimed Capital Llc 2102 Investment manager
Lake Bleu Prime Healthcare Master Fund Limited 2201 Interest of corporation controlled by you
Orbimed Partners Master Fund Limited 2101 Beneficial owner
Dawn Capital Fund 2101 Beneficial owner
Dawn Capital Limited 2102 Investment manager
Hh Spr-xiv Cy Holdings Limited 2201 Interest of corporation controlled by you
Hh Spr-xiv Hk Holdings Limited 2101 Beneficial owner
Hh Spr-xiv Holdings L.p. 2201 Interest of corporation controlled by you
Hillhouse Fund Iv, L.p. 2201 Interest of corporation controlled by you
Hillhouse Investment Management, Ltd. 2102 Investment manager

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