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Far EasTone Telecommunications Co (TPE:4904) Operating Margin % : 16.83% (As of Mar. 2025)


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What is Far EasTone Telecommunications Co Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Far EasTone Telecommunications Co's Operating Income for the three months ended in Mar. 2025 was NT$4,382 Mil. Far EasTone Telecommunications Co's Revenue for the three months ended in Mar. 2025 was NT$26,042 Mil. Therefore, Far EasTone Telecommunications Co's Operating Margin % for the quarter that ended in Mar. 2025 was 16.83%.

Good Sign:

Far EasTone Telecommunications Co Ltd operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for Far EasTone Telecommunications Co's Operating Margin % or its related term are showing as below:

TPE:4904' s Operating Margin % Range Over the Past 10 Years
Min: 12.49   Med: 14.82   Max: 15.93
Current: 15.79


TPE:4904's Operating Margin % is ranked better than
65.68% of 373 companies
in the Telecommunication Services industry
Industry Median: 10.17 vs TPE:4904: 15.79

Far EasTone Telecommunications Co's 5-Year Average Operating Margin % Growth Rate was 1.60% per year.

Far EasTone Telecommunications Co's Operating Income for the three months ended in Mar. 2025 was NT$4,382 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2025 was NT$16,563 Mil.


Far EasTone Telecommunications Co Operating Margin % Historical Data

The historical data trend for Far EasTone Telecommunications 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.

* Premium members only.

Far EasTone Telecommunications Co Operating Margin % Chart

Far EasTone Telecommunications Co Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.25 12.49 14.47 15.28 15.09

Far EasTone Telecommunications Co Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 14.09 15.28 16.28 14.87 16.83

Competitive Comparison of Far EasTone Telecommunications Co's Operating Margin %

For the Telecom Services subindustry, Far EasTone Telecommunications 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.


Far EasTone Telecommunications Co's Operating Margin % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Far EasTone Telecommunications Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Far EasTone Telecommunications Co's Operating Margin % falls into.


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Far EasTone Telecommunications 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.

Far EasTone Telecommunications Co's Operating Margin % for the fiscal year that ended in Dec. 2024 is calculated as

Operating Margin %=Operating Income (A: Dec. 2024 ) / Revenue (A: Dec. 2024 )
=15786.374 / 104622.553
=15.09 %

Far EasTone Telecommunications Co's Operating Margin % for the quarter that ended in Mar. 2025 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2025 ) / Revenue (Q: Mar. 2025 )
=4381.906 / 26042.307
=16.83 %

* 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.


Far EasTone Telecommunications Co  (TPE:4904) 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.


Far EasTone Telecommunications Co Operating Margin % Related Terms

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Far EasTone Telecommunications Co Business Description

Traded in Other Exchanges
N/A
Address
No. 207, Tun-Hwa South Road, 28th Floor, Section 2, Taipei, TWN
Far EasTone Telecommunications Co Ltd is a telecommunications company. It provides mobile telecommunications services (including voice and internet services), international simple resale services, digital value-added services, sale of cellular phone equipment and accessories and enterprise information and communication integration services, etc. The company operating segments are Mobile services business, Fixed-line services business, Sales business. The company generates the vast majority of its revenue in Taiwan.

Far EasTone Telecommunications Co Headlines

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