RTC GroupLSE:RTC 61 Operating Margin % is 2.82% as of Dec. 2025, which is 48% above its 10-year median of 1.91. GuruFocus rates LSE:RTC with a GF Score™ of 61/100 and a GF Value™ of £0.83 (Modestly Overvalued). Among 1,070 Business Services companies, RTC Group ranks worse than 66.07% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. RTC Group's Operating Income for the
six
months ended in Dec. 2025 was £1.33 Mil. RTC Group's Revenue for the
six
months ended in Dec. 2025 was £47.27 Mil. Therefore, RTC Group's Operating Margin % for the quarter that ended in Dec. 2025 was 2.82%.
The historical rank and industry rank for RTC Group's Operating Margin % or its related term are showing as below:
LSE:RTC'
s Operating Margin % Range Over the Past 10 Years
Min: -1.75 Med: 1.91 Max: 2.75
Current: 2.72
LSE:RTC's Operating Margin % is ranked worse than 66.07% of 1070
companies
in the Business Services industry
Industry Median: 6.33
vs LSE:RTC: 2.72
RTC Group's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
RTC Group's Operating Income for the
six
months ended in Dec. 2025 was £1.33 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was £2.60 Mil.
RTC Group (LSE:RTC) 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.
RTC Group Operating Margin % Related Terms
RTC Group Operating Margin % Historical Data
* Premium members only.
The historical data trend for RTC 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.
LSE:RTC vs KFY, RHI, TNET: Operating Margin % Comparison
For the Staffing & Employment Services subindustry, RTC 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.
RTC Group Operating Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, RTC Group's Operating Margin % distribution charts can be found below:
* The bar in red indicates where RTC Group's Operating Margin % falls into.
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.
RTC Group's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as
* 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.
RTC Group (LSE:RTC) has a Operating Margin % of 2.82% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on RTC Group and its competitors. This is 48% above median its historical median of 1.91. According to the industry distribution chart, RTC Group ranks #707 out of 1070 companies in the Business Services industry, placing it in the top 66.1%.
Is RTC Group's Operating Margin % too high?
RTC Group's current Operating Margin % of 2.82% is 48% above median its 10-year median of 1.91. The Business Services industry median Operating Margin % is 6.33. RTC Group's value of 2.82% is 55.5% below this industry median. Based on the distribution chart, RTC Group ranks #707 out of 1070 companies in the Business Services industry, which is below the industry midpoint. Overall, RTC Group has a GF Score™ of 61/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does RTC Group's Operating Margin % compare to KFY and RHI?
According to the Business Services industry distribution chart, RTC Group ranks #707 out of 1070 companies for Operating Margin %. This places RTC Group in the lower half of its industry. The industry median Operating Margin % is 6.33. RTC Group's value of 2.82% is 55.5% below this benchmark. While the company's 10-year median is 1.91 vs. the industry median of 6.33, RTC 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 Business Services company?
The median Operating Margin % among Business Services companies is 6.33, based on 1,070 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. RTC Group's current Operating Margin % of 2.82% is 55.5% 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 RTC Group and its competitors. For the Business Services industry, the median Operating Margin % is 6.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RTC Group's current Operating Margin % is 2.82%, which is 48% above median its own 10-year median of 1.91. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RTC Group stock overvalued right now?
Based on GuruFocus' analysis, RTC Group (LSE:RTC) is currently considered Modestly Overvalued. The stock's GF Value™ is £0.83, compared to a current price of £1.01 — trading 21.7% above its estimated fair value. The current Operating Margin % is 2.82%, which is 48% above median its 10-year median of 1.91 and 55.5% below the Business Services industry median of 6.33. RTC Group's overall GF Score™ is 61/100. 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 RTC Group (LSE:RTC), the current Operating Margin % is 2.82% 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 RTC Group (LSE:RTC) Overvalued in 2026?
Based on GuruFocus' analysis, RTC Group stock appears to be overvalued.
The current stock price of £1.01 is trading 21.7% above its estimated GF Value™ of £0.83.
GuruFocus considers RTC Group to be Modestly Overvalued.
Key valuation signals for LSE:RTC:
Operating Margin %: 2.82% (48% above median its 10-year median of 1.91)
GF Value™: £0.83 vs. price of £1.01 (21.7% above fair value)
Industry Position: 55.5% below the Business Services median (#707 of 1070)
No single metric tells the full story. See the LSE:RTC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
RTC Group PLC is a holding company. Along with its subsidiaries, it is engaged in the provision of engineering and technical recruitment services that provide temporary and permanent labor to a broad range of industries and customers in both domestic and international markets. It focuses on white and blue-collar recruitment, providing temporary, permanent, and contingent staff to a range of industries and clients in both domestic and international markets. The Group's operating segments include UK Recruitment, UK Central Services, and International Recruitment. The majority of its revenues are generated from the UK Recruitment segment. Geographically, the group derives maximum revenue from the United Kingdom, and the rest from the United States and the Middle East.
61GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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