SIG (LSE:SHI) Operating Margin %: 2.97% (As of Dec. 2025) — 421% Above Median


What is SIG Operating Margin %?

SIG LSE:SHI +0.51% Operating Margin % is 2.97% as of Dec. 2025, which is 421% above its 10-year median of 0.57. The stock has 8 warning signs investors should review. Among 157 Industrial Distribution companies, SIG ranks worse than 81.53% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. SIG's Operating Income for the six months ended in Dec. 2025 was £38 Mil. SIG's Revenue for the six months ended in Dec. 2025 was £1,287 Mil. Therefore, SIG's Operating Margin % for the quarter that ended in Dec. 2025 was 2.97%.

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

LSE:SHI' s Operating Margin % Range Over the Past 10 Years
Min: -8.56   Med: 0.57   Max: 5.15
Current: 1.26


LSE:SHI's Operating Margin % is ranked worse than
81.53% of 157 companies
in the Industrial Distribution industry
Industry Median: 4.74 vs LSE:SHI: 1.26

SIG's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

SIG's Operating Income for the six months ended in Dec. 2025 was £38 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was £33 Mil.


SIG  (LSE:SHI) 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.


SIG Operating Margin % Related Terms


SIG Operating Margin % Historical Data

* Premium members only.

The historical data trend for SIG'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.

SIG Operating Margin % Chart

SIG 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 0.82 2.72 0.32 0.08 1.26

SIG 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 -2.03 0.80 -0.66 -0.43 2.97

LSE:SHI vs GWW, FAST, FERG: Operating Margin % Comparison

For the Industrial Distribution subindustry, SIG'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.


SIG Operating Margin % vs Industrial Distribution Industry

For the Industrial Distribution industry and Industrials sector, SIG's Operating Margin % distribution charts can be found below:

* The bar in red indicates where SIG's Operating Margin % falls into.



SIG 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.

SIG'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 )
=32.6 / 2591
=1.26 %

SIG'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 )
=38.2 / 1286.6
=2.97 %

* 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 2.97% mean?
SIG (LSE:SHI) has a Operating Margin % of 2.97% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on SIG and its competitors. This is 421% above median its historical median of 0.57. According to the industry distribution chart, SIG ranks #128 out of 157 companies in the Industrial Distribution industry, placing it in the top 81.5%.
Is SIG's Operating Margin % too high?
SIG's current Operating Margin % of 2.97% is 421% above median its 10-year median of 0.57. The Industrial Distribution industry median Operating Margin % is 4.74. SIG's value of 2.97% is 37.3% below this industry median. Based on the distribution chart, SIG ranks #128 out of 157 companies in the Industrial Distribution industry, which is in the bottom quartile relative to peers.
How does SIG's Operating Margin % compare to GWW and FAST?
According to the Industrial Distribution industry distribution chart, SIG ranks #128 out of 157 companies for Operating Margin %. This places SIG in the lower half of its industry. The industry median Operating Margin % is 4.74. SIG's value of 2.97% is 37.3% below this benchmark. While the company's 10-year median is 0.57 vs. the industry median of 4.74, SIG 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 an Industrial Distribution company?
The median Operating Margin % among Industrial Distribution companies is 4.74, based on 157 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. SIG's current Operating Margin % of 2.97% is 37.3% 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 SIG and its competitors. For the Industrial Distribution industry, the median Operating Margin % is 4.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SIG's current Operating Margin % is 2.97%, which is 421% above median its own 10-year median of 0.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SIG stock overvalued right now?
Based on GuruFocus' analysis, SIG (LSE:SHI) is currently considered Possible Value Trap. The stock's GF Value™ is £0.23, compared to a current price of £0.08 — trading 65.4% below its estimated fair value. The current Operating Margin % is 2.97%, which is 421% above median its 10-year median of 0.57 and 37.3% below the Industrial Distribution industry median of 4.74. 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 SIG (LSE:SHI), the current Operating Margin % is 2.97% 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.

SIG Business Description

Other Exchanges SHIl:UKQIG:Germany
Address 16 Europa View, Adsetts House, Sheffield Business Park, Sheffield, GBR, S9 1XH
SIG PLC is a United Kingdom-based company that distributes specialized building materials. The company operates in two segments: interiors, which supplies insulation and interior products and solutions to the construction industry; and exteriors, which supplies roofing materials to small and medium-sized construction businesses. The company operates internationally in the United Kingdom, France, Germany, Benelux, Poland and Ireland.