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FCS Software Solutions (NSE:FCSSOFT) Operating Margin % : 17.57% (As of Dec. 2023)


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What is FCS Software Solutions Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. FCS Software Solutions's Operating Income for the three months ended in Dec. 2023 was ₹15.9 Mil. FCS Software Solutions's Revenue for the three months ended in Dec. 2023 was ₹90.7 Mil. Therefore, FCS Software Solutions's Operating Margin % for the quarter that ended in Dec. 2023 was 17.57%.

Good Sign:

FCS Software Solutions Ltd operating margin is expanding. Margin expansion is usually a good sign.

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

NSE:FCSSOFT' s Operating Margin % Range Over the Past 10 Years
Min: -467.12   Med: -81.67   Max: -19.02
Current: -19.02


NSE:FCSSOFT's Operating Margin % is ranked worse than
76.21% of 2762 companies
in the Software industry
Industry Median: 3.35 vs NSE:FCSSOFT: -19.02

FCS Software Solutions's 5-Year Average Operating Margin % Growth Rate was 44.70% per year.

FCS Software Solutions's Operating Income for the three months ended in Dec. 2023 was ₹15.9 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was ₹-51.4 Mil.


FCS Software Solutions Operating Margin % Historical Data

The historical data trend for FCS Software Solutions'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.

FCS Software Solutions Operating Margin % Chart

FCS Software Solutions Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -467.12 -98.97 -23.97 -23.30 -25.53

FCS Software Solutions Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 10.73 -10,169.50 7.97 9.14 17.57

Competitive Comparison of FCS Software Solutions's Operating Margin %

For the Information Technology Services subindustry, FCS Software Solutions'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.


FCS Software Solutions's Operating Margin % Distribution in the Software Industry

For the Software industry and Technology sector, FCS Software Solutions's Operating Margin % distribution charts can be found below:

* The bar in red indicates where FCS Software Solutions's Operating Margin % falls into.



FCS Software Solutions 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.

FCS Software Solutions's Operating Margin % for the fiscal year that ended in Mar. 2023 is calculated as

Operating Margin %=Operating Income (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=-68.169 / 267.066
=-25.53 %

FCS Software Solutions'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 )
=15.938 / 90.693
=17.57 %

* 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.


FCS Software Solutions  (NSE:FCSSOFT) 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.


FCS Software Solutions Operating Margin % Related Terms

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FCS Software Solutions (NSE:FCSSOFT) Business Description

Traded in Other Exchanges
Address
Noida Dadri Road, Plot No. 83, Noida Phase - II, Gautam Budh Nagar, FCS House, Noida Special Economic Zone, Noida, UP, IND, 201 305
FCS Software Solutions Ltd is a company that provides Information Technology (IT) services and solutions. The company business consists of software development and marketing and providing support services for Business Process Outsourcing (BPO), software development, and others. Its geographical segments include India and the USA. The company derives a majority of revenue from India. The company's division consists of IT and IT Enable Services; Education/E-Learning and Infrastructure Management. It generates maximum revenue from the IT and IT Enable Services division.

FCS Software Solutions (NSE:FCSSOFT) Headlines

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