Zoy Home Furnishing Co (SHSE:603709) Operating Margin %: 1.64% (As of Mar. 2026) — 51% Below Median

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SHSE:603709 Zoy Home Furnishing Co Ltd SHSE:603709
78 GF Score
Price ¥10.76
GF Value ¥13.90
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Zoy Home Furnishing Co Operating Margin %?

Zoy Home Furnishing Co SHSE:603709 +2.48% 78 Operating Margin % is 1.64% as of Mar. 2026, which is 51% below its 10-year median of 3.37. GuruFocus rates SHSE:603709 with a GF Score™ of 78/100 and a GF Value™ of ¥13.90 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 431 Furnishings, Fixtures & Appliances companies, Zoy Home Furnishing Co ranks worse than 71% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Zoy Home Furnishing Co's Operating Income for the three months ended in Mar. 2026 was ¥8 Mil. Zoy Home Furnishing Co's Revenue for the three months ended in Mar. 2026 was ¥483 Mil. Therefore, Zoy Home Furnishing Co's Operating Margin % for the quarter that ended in Mar. 2026 was 1.64%.

The historical rank and industry rank for Zoy Home Furnishing Co's Operating Margin % or its related term are showing as below:

SHSE:603709' s Operating Margin % Range Over the Past 10 Years
Min: -5.3   Med: 3.37   Max: 13
Current: -0.49


SHSE:603709's Operating Margin % is ranked worse than
71% of 431 companies
in the Furnishings, Fixtures & Appliances industry
Industry Median: 3.74 vs SHSE:603709: -0.49

Zoy Home Furnishing Co's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Zoy Home Furnishing Co's Operating Income for the three months ended in Mar. 2026 was ¥8 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was ¥-9 Mil.

Warning Sign:

Zoy Home Furnishing Co Ltd had lost money in 58% of the time over the past 12quarters.


Zoy Home Furnishing Co  (SHSE:603709) 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.


Zoy Home Furnishing Co Operating Margin % Related Terms


Zoy Home Furnishing Co Operating Margin % Historical Data

* Premium members only.

The historical data trend for Zoy Home Furnishing 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.

Zoy Home Furnishing Co Operating Margin % Chart

Zoy Home Furnishing 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 -0.77 -5.30 2.93 -1.97 -1.03

Zoy Home Furnishing 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 -0.11 -2.76 -0.76 -0.62 1.64

SHSE:603709 vs SN, SGI, MHK: Operating Margin % Comparison

For the Furnishings, Fixtures & Appliances subindustry, Zoy Home Furnishing 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.


Zoy Home Furnishing Co Operating Margin % vs Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Zoy Home Furnishing Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Zoy Home Furnishing Co's Operating Margin % falls into.


SHSE:603709
78GF Score
Zoy Home Furnishing Co Ltd SHSE:603709
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Zoy Home Furnishing 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.

Zoy Home Furnishing 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 )
=-16.781 / 1622.713
=-1.03 %

Zoy Home Furnishing 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 )
=7.9 / 482.781
=1.64 %

* 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 1.64% mean?
Zoy Home Furnishing Co (SHSE:603709) has a Operating Margin % of 1.64% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Zoy Home Furnishing Co and its competitors. This is 51% below median its historical median of 3.37. According to the industry distribution chart, Zoy Home Furnishing Co ranks #306 out of 431 companies in the Furnishings, Fixtures & Appliances industry, placing it in the top 71%.
Is Zoy Home Furnishing Co's Operating Margin % too high?
Zoy Home Furnishing Co's current Operating Margin % of 1.64% is 51% below median its 10-year median of 3.37. The Furnishings, Fixtures & Appliances industry median Operating Margin % is 3.74. Zoy Home Furnishing Co's value of 1.64% is 56.1% below this industry median. Based on the distribution chart, Zoy Home Furnishing Co ranks #306 out of 431 companies in the Furnishings, Fixtures & Appliances industry, which is below the industry midpoint. Overall, Zoy Home Furnishing Co has a GF Score™ of 78/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Zoy Home Furnishing Co's Operating Margin % compare to SN and SGI?
According to the Furnishings, Fixtures & Appliances industry distribution chart, Zoy Home Furnishing Co ranks #306 out of 431 companies for Operating Margin %. This places Zoy Home Furnishing Co in the lower half of its industry. The industry median Operating Margin % is 3.74. Zoy Home Furnishing Co's value of 1.64% is 56.1% below this benchmark. While the company's 10-year median is 3.37 vs. the industry median of 3.74, Zoy Home Furnishing Co 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 Furnishings, Fixtures & Appliances company?
The median Operating Margin % among Furnishings, Fixtures & Appliances companies is 3.74, based on 431 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. Zoy Home Furnishing Co's current Operating Margin % of 1.64% is 56.1% 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 Zoy Home Furnishing Co and its competitors. For the Furnishings, Fixtures & Appliances industry, the median Operating Margin % is 3.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zoy Home Furnishing Co's current Operating Margin % is 1.64%, which is 51% below median its own 10-year median of 3.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zoy Home Furnishing Co stock overvalued right now?
Based on GuruFocus' analysis, Zoy Home Furnishing Co (SHSE:603709) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥13.90, compared to a current price of ¥10.76 — trading 22.6% below its estimated fair value. The current Operating Margin % is 1.64%, which is 51% below median its 10-year median of 3.37 and 56.1% below the Furnishings, Fixtures & Appliances industry median of 3.74. Zoy Home Furnishing Co's overall GF Score™ is 78/100 with 4 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 Zoy Home Furnishing Co (SHSE:603709), the current Operating Margin % is 1.64% 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 Zoy Home Furnishing Co (SHSE:603709) Overvalued in 2026?

Based on GuruFocus' analysis, Zoy Home Furnishing Co stock appears to be undervalued. The current stock price of ¥10.76 is trading 22.6% below its estimated GF Value™ of ¥13.90. GuruFocus considers Zoy Home Furnishing Co to be Modestly Undervalued.

Key valuation signals for SHSE:603709:

  • Operating Margin %: 1.64% (51% below median its 10-year median of 3.37)
  • GF Value™: ¥13.90 vs. price of ¥10.76 (22.6% below fair value)
  • GF Score™: 78/100 with 4 warning signs
  • Industry Position: 56.1% below the Furnishings, Fixtures & Appliances median (#306 of 431)

No single metric tells the full story. See the SHSE:603709 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Zoy Home Furnishing Co Business Description

Address Tangpu Industrial Park, Building 2-5, Anji County, Zhejiang Province, Huzhou, CHN, 313300
Zoy Home Furnishing Co Ltd manufactures and markets furniture. The Company designs, produces, and sells ordinary and ergonomic sofas, and other related products. The company's products mainly include functional sofas, fixed sofas and single lounge chairs and others, such as manual function sofa, electric function sofa, armrest push back sofas, elderly chairs, household and commercial sofas and household and commercial single leisure chairs.
78GF Score

Get the complete analysis for SHSE:603709

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

¥10.76
Price
¥13.90
GF Value