Kuwait and Gulf Link Transport Co (KUW:KGL) 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 Nokias 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.
Kuwait and Gulf Link Transport Co Operating Margin % Related Terms
Kuwait and Gulf Link Transport Co Operating Margin % Historical Data
* 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.
Kuwait and Gulf Link Transport Co Operating Margin % Chart
KUW:KGL vs UPS, FDX, CHRW: Operating Margin % Comparison
For the Integrated Freight & Logistics subindustry, Kuwait and Gulf Link Transport 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.
Kuwait and Gulf Link Transport Co Operating Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, Kuwait and Gulf Link Transport Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Kuwait and Gulf Link Transport Co's Operating Margin % falls into.
Kuwait and Gulf Link Transport 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.
* 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.
Kuwait and Gulf Link Transport Co (KUW:KGL) has a Operating Margin % of 13.62% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Kuwait and Gulf Link Transport Co and its competitors. This is 397% above median its historical median of 2.74.
Is Kuwait and Gulf Link Transport Co's Operating Margin % too high?
Kuwait and Gulf Link Transport Co's current Operating Margin % of 13.62% is 397% above median its 10-year median of 2.74. The Transportation industry median Operating Margin % is 7.37. Kuwait and Gulf Link Transport Co's value of 13.62% is 84.8% above this industry median.
How does Kuwait and Gulf Link Transport Co's Operating Margin % compare to UPS and FDX?
Kuwait and Gulf Link Transport Co's Operating Margin % of 13.62% can be compared against companies in the Transportation industry. The industry median Operating Margin % is 7.37. Kuwait and Gulf Link Transport Co's value of 13.62% is 84.8% above this benchmark. While the company's 10-year median is 2.74 vs. the industry median of 7.37, Kuwait and Gulf Link Transport Co has consistently been above 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 Transportation company?
The median Operating Margin % among Transportation companies is 7.37, based on 1,007 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. Kuwait and Gulf Link Transport Co's current Operating Margin % of 13.62% is 84.8% above 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 Kuwait and Gulf Link Transport Co and its competitors. For the Transportation industry, the median Operating Margin % is 7.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kuwait and Gulf Link Transport Co's current Operating Margin % is 13.62%, which is 397% above median its own 10-year median of 2.74. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kuwait and Gulf Link Transport Co stock overvalued right now?
Kuwait and Gulf Link Transport Co (KUW:KGL) has a current Operating Margin % of 13.62%. The stock's GF Value™ is KWD0.05, compared to a current price of KWD0.07 — trading 44% above its estimated fair value. The current Operating Margin % is 13.62%, which is 397% above median its 10-year median of 2.74 and 84.8% above the Transportation industry median of 7.37. 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 Kuwait and Gulf Link Transport Co (KUW:KGL), the current Operating Margin % is 13.62% 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.
Kuwait and Gulf Link Transport Co Business Description
Kuwait and Gulf Link Transport Co are engaged in the logistics and land transportation business. The company's activities include general cargo and stevedoring services at seaports, container terminal operations, general cargo transport, and handling services, container transport, and handling services, heavy equipment lease services, heavy-lift transport services, fuel haulage services, municipal service, and cleaning services. Its operating segment includes Transportation; Logistics services; Rental & leasing services and others. The company generates maximum revenue from the Logistics services segment.
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