Town Health International Medical Group (HKSE:03886) Operating Margin %: 4.64% (As of Dec. 2025) — 176% Above Median

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HKSE:03886 Town Health International Medical Group Ltd HKSE:03886
44 GF Score
Price HK$0.18
GF Value HK$0.29
Valuation Significantly Undervalued
! 4 Warning Signs
View Full Analysis

What is Town Health International Medical Group Operating Margin %?

Town Health International Medical Group HKSE:03886 -3.31% 44 Operating Margin % is 4.64% as of Dec. 2025, which is 176% above its 10-year median of 1.68. GuruFocus rates HKSE:03886 with a GF Score™ of 44/100 and a GF Value™ of HK$0.29 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 668 Healthcare Providers & Services companies, Town Health International Medical Group ranks worse than 53.59% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Town Health International Medical Group's Operating Income for the six months ended in Dec. 2025 was HK$41 Mil. Town Health International Medical Group's Revenue for the six months ended in Dec. 2025 was HK$885 Mil. Therefore, Town Health International Medical Group's Operating Margin % for the quarter that ended in Dec. 2025 was 4.64%.

The historical rank and industry rank for Town Health International Medical Group's Operating Margin % or its related term are showing as below:

HKSE:03886' s Operating Margin % Range Over the Past 10 Years
Min: -20.65   Med: 1.68   Max: 5.59
Current: 4.41


HKSE:03886's Operating Margin % is ranked worse than
53.59% of 668 companies
in the Healthcare Providers & Services industry
Industry Median: 5.09 vs HKSE:03886: 4.41

Town Health International Medical Group's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Town Health International Medical Group's Operating Income for the six months ended in Dec. 2025 was HK$41 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was HK$79 Mil.


Town Health International Medical Group  (HKSE:03886) 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.


Town Health International Medical Group Operating Margin % Related Terms


Town Health International Medical Group Operating Margin % Historical Data

* Premium members only.

The historical data trend for Town Health International Medical 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.

Town Health International Medical Group Operating Margin % Chart

Town Health International Medical Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.48 1.61 5.59 4.58 4.41

Town Health International Medical Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.19 6.01 3.15 4.19 4.64

HKSE:03886 vs HCA, THC, EHC: Operating Margin % Comparison

For the Medical Care Facilities subindustry, Town Health International Medical 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.


Town Health International Medical Group Operating Margin % vs Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Town Health International Medical Group's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Town Health International Medical Group's Operating Margin % falls into.


HKSE:03886
44GF Score
Town Health International Medical Group Ltd HKSE:03886
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Town Health International Medical 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.

Town Health International Medical 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 )
=78.789 / 1785.563
=4.41 %

Town Health International Medical 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 )
=41.031 / 884.64
=4.64 %

* 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 4.64% mean?
Town Health International Medical Group (HKSE:03886) has a Operating Margin % of 4.64% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Town Health International Medical Group and its competitors. This is 176% above median its historical median of 1.68. According to the industry distribution chart, Town Health International Medical Group ranks #358 out of 668 companies in the Healthcare Providers & Services industry, placing it in the top 53.6%.
Is Town Health International Medical Group's Operating Margin % too high?
Town Health International Medical Group's current Operating Margin % of 4.64% is 176% above median its 10-year median of 1.68. The Healthcare Providers & Services industry median Operating Margin % is 5.09. Town Health International Medical Group's value of 4.64% is 8.8% below this industry median. Based on the distribution chart, Town Health International Medical Group ranks #358 out of 668 companies in the Healthcare Providers & Services industry, which is below the industry midpoint. Overall, Town Health International Medical Group has a GF Score™ of 44/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Town Health International Medical Group's Operating Margin % compare to HCA and THC?
According to the Healthcare Providers & Services industry distribution chart, Town Health International Medical Group ranks #358 out of 668 companies for Operating Margin %. This places Town Health International Medical Group in the lower half of its industry. The industry median Operating Margin % is 5.09. Town Health International Medical Group's value of 4.64% is 8.8% below this benchmark. While the company's 10-year median is 1.68 vs. the industry median of 5.09, Town Health International Medical 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 Healthcare Providers & Services company?
The median Operating Margin % among Healthcare Providers & Services companies is 5.09, based on 668 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. Town Health International Medical Group's current Operating Margin % of 4.64% is 8.8% 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 Town Health International Medical Group and its competitors. For the Healthcare Providers & Services industry, the median Operating Margin % is 5.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Town Health International Medical Group's current Operating Margin % is 4.64%, which is 176% above median its own 10-year median of 1.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Town Health International Medical Group stock overvalued right now?
Based on GuruFocus' analysis, Town Health International Medical Group (HKSE:03886) is currently considered Significantly Undervalued. The stock's GF Value™ is HK$0.29, compared to a current price of HK$0.18 — trading 39.7% below its estimated fair value. The current Operating Margin % is 4.64%, which is 176% above median its 10-year median of 1.68 and 8.8% below the Healthcare Providers & Services industry median of 5.09. Town Health International Medical Group's overall GF Score™ is 44/100 with 4 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 Town Health International Medical Group (HKSE:03886), the current Operating Margin % is 4.64% 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 Town Health International Medical Group (HKSE:03886) Overvalued in 2026?

Based on GuruFocus' analysis, Town Health International Medical Group stock appears to be undervalued. The current stock price of HK$0.18 is trading 39.7% below its estimated GF Value™ of HK$0.29. GuruFocus considers Town Health International Medical Group to be Significantly Undervalued.

Key valuation signals for HKSE:03886:

  • Operating Margin %: 4.64% (176% above median its 10-year median of 1.68)
  • GF Value™: HK$0.29 vs. price of HK$0.18 (39.7% below fair value)
  • GF Score™: 44/100 with 4 warning signs
  • Industry Position: 8.8% below the Healthcare Providers & Services median (#358 of 668)

No single metric tells the full story. See the HKSE:03886 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Town Health International Medical Group Business Description

Address 10-12 Yuen Shun Circuit, 6th Floor, Town Health Medical Group Centre, Siu Lek Yuen, New Territories, Shatin, Hong Kong, HKG
Town Health International Medical Group Ltd is a Chinese healthcare services company. The company operates in the following business segments: Hong Kong medical services, which derives key revenue, provides medical and dental services in Hong Kong; Hong Kong managed medical network business manages healthcare networks and provision of third-party medical networks; Mainland hospital management and medical services, which provides medical and dental services in the PRC; and Others, provides miscellaneous healthcare-related services and leasing of properties. Its geographic segments are Hong Kong and other regions of PRC. It generates the majority of its revenue from Hong Kong.
44GF Score

Get the complete analysis for HKSE:03886

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

HK$0.18
Price
HK$0.29
GF Value