SBS TransitSBSTF 82 Operating Margin % is 4.41% as of Dec. 2025, which is 12% below its 10-year median of 5.00. GuruFocus rates SBSTF with a GF Score™ of 82/100. The stock has 8 warning signs investors should review. Among 1,007 Transportation companies, SBS Transit ranks worse than 64.05% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. SBS Transit's Operating Income for the
six
months ended in Dec. 2025 was $26.35 Mil. SBS Transit's Revenue for the
six
months ended in Dec. 2025 was $597.72 Mil. Therefore, SBS Transit's Operating Margin % for the quarter that ended in Dec. 2025 was 4.41%.
Warning Sign:
SBS Transit Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -4.2%.
The historical rank and industry rank for SBS Transit's Operating Margin % or its related term are showing as below:
SBSTF'
s Operating Margin % Range Over the Past 10 Years
Min: 3.8 Med: 5 Max: 7.16
Current: 4.49
SBSTF's Operating Margin % is ranked worse than 64.05% of 1007
companies
in the Transportation industry
Industry Median: 7.36
vs SBSTF: 4.49
SBS Transit's 5-Year Average Operating Margin % Growth Rate was -4.20% per year.
SBS Transit's Operating Income for the
six
months ended in Dec. 2025 was $26.35 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was $52.95 Mil.
SBS Transit (OTCPK:SBSTF) 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 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.
SBS Transit Operating Margin % Related Terms
SBS Transit Operating Margin % Historical Data
* Premium members only.
The historical data trend for SBS Transit'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.
SBSTF vs UNP, CSX, NSC: Operating Margin % Comparison
For the Railroads subindustry, SBS Transit'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.
SBS Transit Operating Margin % vs Transportation Industry
For the Transportation industry and Industrials sector, SBS Transit's Operating Margin % distribution charts can be found below:
* The bar in red indicates where SBS Transit'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.
SBS Transit's Operating Margin % for the fiscal year that ended in Dec. 2025 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.
SBS Transit (SBSTF) has a Operating Margin % of 4.41% as of Dec. 2025. Operating margin is the ratio of total operating income to net sales. View historical data on SBS Transit and its competitors. This is 12% below median its historical median of 5.00. Over the past decade, SBS Transit's Operating Margin % has ranged from 3.80 to 7.16. According to the industry distribution chart, SBS Transit ranks #645 out of 1007 companies in the Transportation industry, placing it in the top 64.1%.
Is SBS Transit's Operating Margin % too high?
SBS Transit's current Operating Margin % of 4.41% is 12% below median its 10-year median of 5.00. Over the past 10 years, this metric has ranged from a low of 3.80 to a high of 7.16. The Transportation industry median Operating Margin % is 7.36. SBS Transit's value of 4.41% is 40.1% below this industry median. Based on the distribution chart, SBS Transit ranks #645 out of 1007 companies in the Transportation industry, which is below the industry midpoint. Overall, SBS Transit has a GF Score™ of 82/100, reflecting its overall financial health beyond just this single metric.
How does SBS Transit's Operating Margin % compare to UNP and CSX?
According to the Transportation industry distribution chart, SBS Transit ranks #645 out of 1007 companies for Operating Margin %. This places SBS Transit in the lower half of its industry. The industry median Operating Margin % is 7.36. SBS Transit's value of 4.41% is 40.1% below this benchmark. Historically, SBS Transit's own Operating Margin % has ranged from 3.80 to 7.16 over the past decade. While the company's 10-year median is 5.00 vs. the industry median of 7.36, SBS Transit 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 a Transportation company?
The median Operating Margin % among Transportation companies is 7.36, based on 1,007 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. SBS Transit's current Operating Margin % of 4.41% is 40.1% 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 SBS Transit and its competitors. For the Transportation industry, the median Operating Margin % is 7.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SBS Transit's current Operating Margin % is 4.41%, which is 12% below median its own 10-year median of 5.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SBS Transit stock overvalued right now?
SBS Transit (SBSTF) has a current Operating Margin % of 4.41%. The current Operating Margin % is 4.41%, which is 12% below median its 10-year median of 5.00 and 40.1% below the Transportation industry median of 7.36. SBS Transit's overall GF Score™ is 82/100 with 8 warning signs 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 SBS Transit (SBSTF), the current Operating Margin % is 4.41% 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.
SBS Transit Ltd is engaged in providing public transport services and consultancy services relating to land transport. The provision of public transport services includes the operation of public buses and rail transit systems in Singapore. The company's operating segments are Public Transport Services and Other Commercial Services. The Public Transport Services include income generated from the provision of bus and rail services to commuters traveling on public transport systems. The Other Commercial Services include income generated from advertisements on buses and trains, and rental collection from commercial and shop space at bus interchanges and rail stations. The majority of the company's revenue is generated from the Public Transport Services segment.
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