Microlink Solutions BhdXKLS:0126 Operating Margin % is -2.49% as of Mar. 2026. The stock has 6 warning signs investors should review. Among 2,818 Software companies, Microlink Solutions Bhd ranks worse than 61% on this metric.
Microlink Solutions Bhd had lost money in 50% of the time over the past 12quarters.
Microlink Solutions Bhd (XKLS:0126) 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.
Microlink Solutions Bhd Operating Margin % Related Terms
Microlink Solutions Bhd Operating Margin % Historical Data
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The historical data trend for Microlink Solutions Bhd'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.
XKLS:0126 vs IBM, ACN, FISV: Operating Margin % Comparison
For the Information Technology Services subindustry, Microlink Solutions Bhd'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.
Microlink Solutions Bhd Operating Margin % vs Software Industry
For the Software industry and Technology sector, Microlink Solutions Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Microlink Solutions Bhd's Operating Margin % falls into.
Microlink Solutions Bhd 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.
Microlink Solutions Bhd's Operating Margin % for the fiscal year that ended in Mar. 2024 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.
Microlink Solutions Bhd (XKLS:0126) has a Operating Margin % of -2.49% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Microlink Solutions Bhd and its competitors. According to the industry distribution chart, Microlink Solutions Bhd ranks #1719 out of 2818 companies in the Software industry, placing it in the top 61%.
Is Microlink Solutions Bhd's Operating Margin % too high?
Microlink Solutions Bhd's current Operating Margin % is -2.49%. Based on the distribution chart, Microlink Solutions Bhd ranks #1719 out of 2818 companies in the Software industry, which is below the industry midpoint.
How does Microlink Solutions Bhd's Operating Margin % compare to IBM and ACN?
According to the Software industry distribution chart, Microlink Solutions Bhd ranks #1719 out of 2818 companies for Operating Margin %. This places Microlink Solutions Bhd in the lower half of its industry. The industry median Operating Margin % is 3.81. 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 Software company?
The median Operating Margin % among Software companies is 3.81, based on 2,818 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 Microlink Solutions Bhd and its competitors. For the Software industry, the median Operating Margin % is 3.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Microlink Solutions Bhd's current Operating Margin % is -2.49%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Microlink Solutions Bhd stock overvalued right now?
Based on GuruFocus' analysis, Microlink Solutions Bhd (XKLS:0126) is currently considered Possible Value Trap. The stock's GF Value™ is RM0.18, compared to a current price of RM0.07 — trading 61.1% below its estimated fair value. The current Operating Margin % is -2.49%. 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 Microlink Solutions Bhd (XKLS:0126), the current Operating Margin % is -2.49% 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.
Microlink Solutions Bhd is engaged in investment holding and the provision of research and development on information technology solutions for the financial services industry. The Group operates through four segments: Financial Services, which provides business and technical services for financial institutions; Enterprise Solutions, which focuses on emerging technologies for enterprise; Distribution Services, which handles the distribution and maintenance of computer equipment and software; and Solution Delivery, which provides project and software solutions delivery services. The majority of revenue comes from Distribution Services, and the company operates in Malaysia and overseas, with the majority of its revenue derived from Malaysia.
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