RTSO (RTS Oil Holdings) Operating Margin %: 20.86% (As of Dec. 2013)


What is RTS Oil Holdings Operating Margin %?

RTS Oil Holdings RTSO Operating Margin % is 20.86% as of Dec. 2013.

Operating Margin % is calculated as Operating Income divided by its Revenue. RTS Oil Holdings's Operating Income for the three months ended in Dec. 2013 was $6.05 Mil. RTS Oil Holdings's Revenue for the three months ended in Dec. 2013 was $29.01 Mil. Therefore, RTS Oil Holdings's Operating Margin % for the quarter that ended in Dec. 2013 was 20.86%.

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


RTSO's Operating Margin % is not ranked *
in the Oil & Gas industry.
Industry Median: 6.86
* Ranked among companies with meaningful Operating Margin % only.

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

RTS Oil Holdings's Operating Income for the three months ended in Dec. 2013 was $6.05 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2013 was $5.32 Mil.


RTS Oil Holdings  (OTCPK:RTSO) 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.


RTS Oil Holdings Operating Margin % Related Terms


RTS Oil Holdings Operating Margin % Historical Data

* Premium members only.

The historical data trend for RTS Oil Holdings'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.

RTS Oil Holdings Operating Margin % Chart

RTS Oil Holdings Annual Data
Trend Mar08 Mar09 Mar10 Mar11 Mar12 Mar13
Operating Margin %
Get a 7-Day Free Trial -61.14 0.00 -41.80 -462.20 -332.92

RTS Oil Holdings Quarterly Data
Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13
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 6.03 7.96 5.09 12.95 20.86

RTSO vs MARPS, FSNR, SMGI: Operating Margin % Comparison

For the Oil & Gas Equipment & Services subindustry, RTS Oil Holdings'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.


RTS Oil Holdings Operating Margin % vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, RTS Oil Holdings's Operating Margin % distribution charts can be found below:

* The bar in red indicates where RTS Oil Holdings's Operating Margin % falls into.



RTS Oil Holdings 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.

RTS Oil Holdings's Operating Margin % for the fiscal year that ended in Mar. 2013 is calculated as

Operating Margin %=Operating Income (A: Mar. 2013 ) / Revenue (A: Mar. 2013 )
=-0.536 / 0.161
=-332.92 %

RTS Oil Holdings's Operating Margin % for the quarter that ended in Dec. 2013 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2013 ) / Revenue (Q: Dec. 2013 )
=6.052 / 29.009
=20.86 %

* 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 20.86% mean?
RTS Oil Holdings (RTSO) has a Operating Margin % of 20.86% as of Dec. 2013. Operating margin is the ratio of total operating income to net sales. View historical data on RTS Oil Holdings and its competitors.
Is RTS Oil Holdings' Operating Margin % too high?
RTS Oil Holdings' current Operating Margin % is 20.86%. The Oil & Gas industry median Operating Margin % is 6.86. RTS Oil Holdings' value of 20.86% is 204.1% above this industry median.
How does RTS Oil Holdings' Operating Margin % compare to MARPS and FSNR?
RTS Oil Holdings' Operating Margin % of 20.86% can be compared against companies in the Oil & Gas industry. The industry median Operating Margin % is 6.86. RTS Oil Holdings' value of 20.86% is 204.1% above this benchmark. 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 6.86, based on 916 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. RTS Oil Holdings's current Operating Margin % of 20.86% is 204.1% above 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 RTS Oil Holdings and its competitors. For the Oil & Gas industry, the median Operating Margin % is 6.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RTS Oil Holdings's current Operating Margin % is 20.86%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RTS Oil Holdings stock overvalued right now?
RTS Oil Holdings (RTSO) has a current Operating Margin % of 20.86%. The current Operating Margin % is 20.86% and 204.1% above the Oil & Gas industry median of 6.86. 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 RTS Oil Holdings (RTSO), the current Operating Margin % is 20.86% as of Dec. 2013. 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.

RTS Oil Holdings Business Description

Industry EnergyOil & Gas
Address 2319 Foothill Drive, Suite 160, Salt Lake City, UT, USA, 84109
RTS Oil Holdings Inc provides geological and earth study services related to land surveying for new construction, soil testing & environmental risk & impact assessments, and natural resource assessments with an emphasis on oil & gas deposit discovery.