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Huang Hsiang Construction (TPE:2545) Operating Margin % : 33.42% (As of Mar. 2024)


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What is Huang Hsiang Construction Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Huang Hsiang Construction's Operating Income for the three months ended in Mar. 2024 was NT$812 Mil. Huang Hsiang Construction's Revenue for the three months ended in Mar. 2024 was NT$2,430 Mil. Therefore, Huang Hsiang Construction's Operating Margin % for the quarter that ended in Mar. 2024 was 33.42%.

Good Sign:

Huang Hsiang Construction Corp operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for Huang Hsiang Construction's Operating Margin % or its related term are showing as below:

TPE:2545' s Operating Margin % Range Over the Past 10 Years
Min: 10.15   Med: 23.79   Max: 43.6
Current: 30.18


TPE:2545's Operating Margin % is ranked better than
72.17% of 1768 companies
in the Real Estate industry
Industry Median: 13.105 vs TPE:2545: 30.18

Huang Hsiang Construction's 5-Year Average Operating Margin % Growth Rate was 14.20% per year.

Huang Hsiang Construction's Operating Income for the three months ended in Mar. 2024 was NT$812 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was NT$1,993 Mil.

Warning Sign:

Huang Hsiang Construction Corp has recorded a loss in operating income at least once over the past 3 years.


Huang Hsiang Construction Operating Margin % Historical Data

The historical data trend for Huang Hsiang Construction'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.

* Premium members only.

Huang Hsiang Construction Operating Margin % Chart

Huang Hsiang Construction Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.84 32.12 36.29 28.46 26.41

Huang Hsiang Construction Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 12.64 -9.38 24.55 37.85 33.42

Competitive Comparison of Huang Hsiang Construction's Operating Margin %

For the Real Estate - Diversified subindustry, Huang Hsiang Construction'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.


Huang Hsiang Construction's Operating Margin % Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, Huang Hsiang Construction's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Huang Hsiang Construction's Operating Margin % falls into.



Huang Hsiang Construction 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.

Huang Hsiang Construction's Operating Margin % for the fiscal year that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=1253.297 / 4746.091
=26.41 %

Huang Hsiang Construction's Operating Margin % for the quarter that ended in Mar. 2024 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=812.199 / 2430.173
=33.42 %

* 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.


Huang Hsiang Construction  (TPE:2545) 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.


Huang Hsiang Construction Operating Margin % Related Terms

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Huang Hsiang Construction (TPE:2545) Business Description

Traded in Other Exchanges
N/A
Address
Number 38, Bo'ai Road, 8th Floor, Zhongzheng District, Taipei, TWN
Huang Hsiang Construction Corp is principally engaged in the development of residential properties, the lease or sales of commercial buildings, comprehensive constructions, the development of specific districts, and hotel operations. The group has three operating segments: Development department which is engaged in the development of commercial and residential buildings for leasing and sales; Construction department which is engaged in the business of construction and civil engineering; Hotel department which is engaged in the business of accommodation and catering services. The company generates all of its revenue from the Taiwan market.

Huang Hsiang Construction (TPE:2545) Headlines

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