Neptune PetrochemicalsNSE:NEPTUNE -2.63%18 Operating Margin % is 3.41% as of Sep. 2025, which is 89% above its 10-year median of 1.80. GuruFocus rates NSE:NEPTUNE with a GF Score™ of 18/100. The stock has 1 warning sign investors should review. Among 921 Oil & Gas companies, Neptune Petrochemicals ranks worse than 61.67% on this metric.
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.
Neptune Petrochemicals Operating Margin % Related Terms
Neptune Petrochemicals Operating Margin % Historical Data
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The historical data trend for Neptune Petrochemicals'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.
Neptune Petrochemicals Operating Margin % Chart
Neptune Petrochemicals Annual Data
Trend
Mar22
Mar23
Mar24
Operating Margin %
0.45
1.80
3.09
Neptune Petrochemicals Semi-Annual Data
Mar22
Mar23
Mar24
Sep24
Sep25
Operating Margin %
0.00
0.00
0.00
4.17
3.41
NSE:NEPTUNE vs VLO, MPC, PSX: Operating Margin % Comparison
For the Oil & Gas Refining & Marketing subindustry, Neptune Petrochemicals'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.
Neptune Petrochemicals Operating Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Neptune Petrochemicals's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Neptune Petrochemicals'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.
Neptune Petrochemicals's Operating Margin % for the fiscal year that ended in Mar. 2024 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.
Neptune Petrochemicals (NSE:NEPTUNE) has a Operating Margin % of 3.41% as of Sep. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on Neptune Petrochemicals and its competitors. This is 89% above median its historical median of 1.80. Over the past decade, Neptune Petrochemicals' Operating Margin % has ranged from 0.45 to 3.41. According to the industry distribution chart, Neptune Petrochemicals ranks #568 out of 921 companies in the Oil & Gas industry, placing it in the top 61.7%.
Is Neptune Petrochemicals' Operating Margin % too high?
Neptune Petrochemicals' current Operating Margin % of 3.41% is 89% above median its 10-year median of 1.80. Over the past 10 years, this metric has ranged from a low of 0.45 to a high of 3.41. The Oil & Gas industry median Operating Margin % is 6.85. Neptune Petrochemicals' value of 3.41% is 50.2% below this industry median. Based on the distribution chart, Neptune Petrochemicals ranks #568 out of 921 companies in the Oil & Gas industry, which is below the industry midpoint. Overall, Neptune Petrochemicals has a GF Score™ of 18/100, reflecting its overall financial health beyond just this single metric.
How does Neptune Petrochemicals' Operating Margin % compare to VLO and MPC?
According to the Oil & Gas industry distribution chart, Neptune Petrochemicals ranks #568 out of 921 companies for Operating Margin %. This places Neptune Petrochemicals in the lower half of its industry. The industry median Operating Margin % is 6.85. Neptune Petrochemicals' value of 3.41% is 50.2% below this benchmark. Historically, Neptune Petrochemicals' own Operating Margin % has ranged from 0.45 to 3.41 over the past decade. While the company's 10-year median is 1.80 vs. the industry median of 6.85, Neptune Petrochemicals 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 Oil & Gas company?
The median Operating Margin % among Oil & Gas companies is 6.85, based on 921 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. Neptune Petrochemicals's current Operating Margin % of 3.41% is 50.2% 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 Neptune Petrochemicals and its competitors. For the Oil & Gas industry, the median Operating Margin % is 6.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Neptune Petrochemicals's current Operating Margin % is 3.41%, which is 89% above median its own 10-year median of 1.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Neptune Petrochemicals stock overvalued right now?
Neptune Petrochemicals (NSE:NEPTUNE) has a current Operating Margin % of 3.41%. The current Operating Margin % is 3.41%, which is 89% above median its 10-year median of 1.80 and 50.2% below the Oil & Gas industry median of 6.85. Neptune Petrochemicals' overall GF Score™ is 18/100 with 1 warning sign to review. 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 Neptune Petrochemicals (NSE:NEPTUNE), the current Operating Margin % is 3.41% as of Sep. 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.
Neptune Petrochemicals Ltd is engaged in the business of manufacturing and trading of a comprehensive range of bitumen products, bitumen emulsions and allied products. Its product portfolio that includes various grades of bitumen, modified bitumen like Polymer Modified Bitumen, Crumb Rubber based modified bitumen and oils, it serves a broad range of industries, particularly the construction and industrial applications and also offer a broad products tailored to the needs of the road construction and infrastructure industries. The company has one segment that is Dealing in Petrolyum Products. Geographically, it operates only in India.
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