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Lux Industries (NSE:LUXIND) Operating Margin % : 10.07% (As of Mar. 2024)


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What is Lux Industries Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Lux Industries's Operating Income for the three months ended in Mar. 2024 was ₹719 Mil. Lux Industries's Revenue for the three months ended in Mar. 2024 was ₹7,142 Mil. Therefore, Lux Industries's Operating Margin % for the quarter that ended in Mar. 2024 was 10.07%.

Warning Sign:

Lux Industries Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -13.2%.

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

NSE:LUXIND' s Operating Margin % Range Over the Past 10 Years
Min: 7.42   Med: 12.85   Max: 19.95
Current: 7.42


NSE:LUXIND's Operating Margin % is ranked better than
67.18% of 1036 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 3.78 vs NSE:LUXIND: 7.42

Lux Industries's 5-Year Average Operating Margin % Growth Rate was -13.20% per year.

Lux Industries's Operating Income for the three months ended in Mar. 2024 was ₹719 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was ₹1,717 Mil.


Lux Industries Operating Margin % Historical Data

The historical data trend for Lux Industries'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.

Lux Industries Operating Margin % Chart

Lux Industries Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 15.41 18.66 19.95 8.22 7.42

Lux Industries Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 5.17 4.31 7.72 6.36 10.07

Competitive Comparison of Lux Industries's Operating Margin %

For the Apparel Manufacturing subindustry, Lux Industries'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.


Lux Industries's Operating Margin % Distribution in the Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Lux Industries's Operating Margin % distribution charts can be found below:

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



Lux Industries 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.

Lux Industries's Operating Margin % for the fiscal year that ended in Mar. 2024 is calculated as

Operating Margin %=Operating Income (A: Mar. 2024 ) / Revenue (A: Mar. 2024 )
=1716.7 / 23143.6
=7.42 %

Lux Industries's Operating Margin % for the quarter that ended in Mar. 2024 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=719.1 / 7142.3
=10.07 %

* 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.


Lux Industries  (NSE:LUXIND) 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.


Lux Industries Operating Margin % Related Terms

Thank you for viewing the detailed overview of Lux Industries's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Lux Industries (NSE:LUXIND) Business Description

Traded in Other Exchanges
Address
P.S. Srijan Tech Park, DN - 52, Sector - V, 10th Floor, Salt Lake City, Kolkata, WB, IND, 700 091
Lux Industries Ltd is an Indian company which is engaged in manufacturing and sales of knitwear for men, women, and children. The company's products include briefs, trunks, drawers, vests, Bermudas, t-shirts, socks, leggings, bloomer, panties, slacks and slips and winter wear. It markets its products under the brand name Lux Cozi, Lux Cozi Bigshot, Lux Venus, Lux Classic, Lux Inferno, Lux Cottswool and others. The company has one primary segment which is manufacturing and the sale of Knitwear's. Geographically, it derives a majority of its revenue from India.

Lux Industries (NSE:LUXIND) Headlines

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