Kailuan Energy Chemical Co (SHSE:600997) Operating Margin %: -1.21% (As of Mar. 2026)


SHSE:600997 Kailuan Energy Chemical Co Ltd SHSE:600997
57 GF Score
Price ¥4.75
GF Value ¥5.36
Valuation Modestly Undervalued
! 9 Warning Signs
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What is Kailuan Energy Chemical Co Operating Margin %?

Kailuan Energy Chemical Co SHSE:600997 -2.46% 57 Operating Margin % is -1.21% as of Mar. 2026. GuruFocus rates SHSE:600997 with a GF Score™ of 57/100 and a GF Value™ of ¥5.36 (Modestly Undervalued). The stock has 9 warning signs investors should review. Among 615 Steel companies, Kailuan Energy Chemical Co ranks worse than 77.24% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Kailuan Energy Chemical Co's Operating Income for the three months ended in Mar. 2026 was ¥-54 Mil. Kailuan Energy Chemical Co's Revenue for the three months ended in Mar. 2026 was ¥4,425 Mil. Therefore, Kailuan Energy Chemical Co's Operating Margin % for the quarter that ended in Mar. 2026 was -1.21%.

Warning Sign:

Kailuan Energy Chemical Co Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -52.7%.

The historical rank and industry rank for Kailuan Energy Chemical Co's Operating Margin % or its related term are showing as below:

SHSE:600997' s Operating Margin % Range Over the Past 10 Years
Min: -1.01   Med: 8.54   Max: 14.17
Current: -1.01


SHSE:600997's Operating Margin % is ranked worse than
77.24% of 615 companies
in the Steel industry
Industry Median: 2.99 vs SHSE:600997: -1.01

Kailuan Energy Chemical Co's 5-Year Average Operating Margin % Growth Rate was -52.70% per year.

Kailuan Energy Chemical Co's Operating Income for the three months ended in Mar. 2026 was ¥-54 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ¥-175 Mil.

Warning Sign:

Kailuan Energy Chemical Co Ltd has recorded a loss in operating income at least once over the past 3 years.


Kailuan Energy Chemical Co  (SHSE:600997) 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.


Kailuan Energy Chemical Co Operating Margin % Related Terms


Kailuan Energy Chemical Co Operating Margin % Historical Data

* Premium members only.

The historical data trend for Kailuan Energy Chemical Co'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.

Kailuan Energy Chemical Co Operating Margin % Chart

Kailuan Energy Chemical Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.17 8.97 6.03 3.78 0.13

Kailuan Energy Chemical Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 3.20 8.80 -5.97 -5.72 -1.21

SHSE:600997 vs HCC, AMR, METC: Operating Margin % Comparison

For the Coking Coal subindustry, Kailuan Energy Chemical Co'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.


Kailuan Energy Chemical Co Operating Margin % vs Steel Industry

For the Steel industry and Basic Materials sector, Kailuan Energy Chemical Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Kailuan Energy Chemical Co's Operating Margin % falls into.


SHSE:600997
57GF Score
Kailuan Energy Chemical Co Ltd SHSE:600997
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Kailuan Energy Chemical Co 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.

Kailuan Energy Chemical Co's Operating Margin % for the fiscal year that ended in Dec. 2025 is calculated as

Operating Margin %=Operating Income (A: Dec. 2025 ) / Revenue (A: Dec. 2025 )
=23.237 / 17391.471
=0.13 %

Kailuan Energy Chemical Co's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=-53.731 / 4425.431
=-1.21 %

* 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 -1.21% mean?
Kailuan Energy Chemical Co (SHSE:600997) has a Operating Margin % of -1.21% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Kailuan Energy Chemical Co and its competitors. According to the industry distribution chart, Kailuan Energy Chemical Co ranks #475 out of 615 companies in the Steel industry, placing it in the top 77.2%.
Is Kailuan Energy Chemical Co's Operating Margin % too high?
Kailuan Energy Chemical Co's current Operating Margin % is -1.21%. Based on the distribution chart, Kailuan Energy Chemical Co ranks #475 out of 615 companies in the Steel industry, which is in the bottom quartile relative to peers. Overall, Kailuan Energy Chemical Co has a GF Score™ of 57/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Kailuan Energy Chemical Co's Operating Margin % compare to HCC and AMR?
According to the Steel industry distribution chart, Kailuan Energy Chemical Co ranks #475 out of 615 companies for Operating Margin %. This places Kailuan Energy Chemical Co in the lower half of its industry. The industry median Operating Margin % is 2.99. 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 Steel company?
The median Operating Margin % among Steel companies is 2.99, based on 615 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. 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 Kailuan Energy Chemical Co and its competitors. For the Steel industry, the median Operating Margin % is 2.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kailuan Energy Chemical Co's current Operating Margin % is -1.21%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kailuan Energy Chemical Co stock overvalued right now?
Based on GuruFocus' analysis, Kailuan Energy Chemical Co (SHSE:600997) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥5.36, compared to a current price of ¥4.75 — trading 11.4% below its estimated fair value. The current Operating Margin % is -1.21%. Kailuan Energy Chemical Co's overall GF Score™ is 57/100 with 9 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 Kailuan Energy Chemical Co (SHSE:600997), the current Operating Margin % is -1.21% as of Mar. 2026. 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.

Is Kailuan Energy Chemical Co (SHSE:600997) Overvalued in 2026?

Based on GuruFocus' analysis, Kailuan Energy Chemical Co stock appears to be undervalued. The current stock price of ¥4.75 is trading 11.4% below its estimated GF Value™ of ¥5.36. GuruFocus considers Kailuan Energy Chemical Co to be Modestly Undervalued.

Key valuation signals for SHSE:600997:

  • Operating Margin %: -1.21%
  • GF Value™: ¥5.36 vs. price of ¥4.75 (11.4% below fair value)
  • GF Score™: 57/100 with 9 warning signs

No single metric tells the full story. See the SHSE:600997 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Kailuan Energy Chemical Co Business Description

Address No. 70 Xinhua East Road, East Building, Hebei, Tangshan, CHN, 63018
Kailuan Energy Chemical Co Ltd is engaged in the processing and distribution of coal in China. It also produces raw coal products and washed coal products, as well as metallurgical coke, methanol, pure benzole and other coking products. Geographically the business activities are carried out through China.
57GF Score

Get the complete analysis for SHSE:600997

Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

¥4.75
Price
¥5.36
GF Value