UUE Holdings BhdXKLS:0310 47 Operating Margin % is 18.81% as of Feb. 2026, which is 3% below its 10-year median of 19.32. GuruFocus rates XKLS:0310 with a GF Score™ of 47/100. The stock has 4 warning signs investors should review. Among 1,767 Construction companies, UUE Holdings Bhd ranks better than 68.76% on this metric.
UUE Holdings Bhd (XKLS:0310) 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.
UUE Holdings Bhd Operating Margin % Related Terms
UUE Holdings Bhd Operating Margin % Historical Data
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The historical data trend for UUE Holdings 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:0310 vs PWR, FIX, EME: Operating Margin % Comparison
For the Engineering & Construction subindustry, UUE Holdings 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.
UUE Holdings Bhd Operating Margin % vs Construction Industry
For the Construction industry and Industrials sector, UUE Holdings Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where UUE Holdings Bhd's Operating Margin % falls into.
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.
UUE Holdings Bhd's Operating Margin % for the fiscal year that ended in Feb. 2026 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.
UUE Holdings Bhd (XKLS:0310) has a Operating Margin % of 18.81% as of Feb. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on UUE Holdings Bhd and its competitors. This is near median its historical median of 19.32. Over the past decade, UUE Holdings Bhd's Operating Margin % has ranged from 9.41 to 25.99. According to the industry distribution chart, UUE Holdings Bhd ranks #552 out of 1767 companies in the Construction industry, placing it in the top 31.2%.
Is UUE Holdings Bhd's Operating Margin % too high?
UUE Holdings Bhd's current Operating Margin % of 18.81% is near median its 10-year median of 19.32. Over the past 10 years, this metric has ranged from a low of 9.41 to a high of 25.99. The Construction industry median Operating Margin % is 5.89. UUE Holdings Bhd's value of 18.81% is 219.4% above this industry median. Based on the distribution chart, UUE Holdings Bhd ranks #552 out of 1767 companies in the Construction industry, which is above the industry midpoint. Overall, UUE Holdings Bhd has a GF Score™ of 47/100, reflecting its overall financial health beyond just this single metric.
How does UUE Holdings Bhd's Operating Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, UUE Holdings Bhd ranks #552 out of 1767 companies for Operating Margin %. This puts UUE Holdings Bhd in the upper half of its industry. The industry median Operating Margin % is 5.89. UUE Holdings Bhd's value of 18.81% is 219.4% above this benchmark. Historically, UUE Holdings Bhd's own Operating Margin % has ranged from 9.41 to 25.99 over the past decade. While the company's 10-year median is 19.32 vs. the industry median of 5.89, UUE Holdings Bhd has consistently been above 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 Construction company?
The median Operating Margin % among Construction companies is 5.89, based on 1,767 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. UUE Holdings Bhd's current Operating Margin % of 18.81% is 219.4% above 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 UUE Holdings Bhd and its competitors. For the Construction industry, the median Operating Margin % is 5.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. UUE Holdings Bhd's current Operating Margin % is 18.81%, which is near median its own 10-year median of 19.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is UUE Holdings Bhd stock overvalued right now?
UUE Holdings Bhd (XKLS:0310) has a current Operating Margin % of 18.81%. The current Operating Margin % is 18.81%, which is near median its 10-year median of 19.32 and 219.4% above the Construction industry median of 5.89. UUE Holdings Bhd's overall GF Score™ is 47/100 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 UUE Holdings Bhd (XKLS:0310), the current Operating Margin % is 18.81% as of Feb. 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.
UUE Holdings Bhd is principally involved in the provision of underground utilities engineering solutions and in the HDD method of laying pipes, and also employs the open cut and micro trenching excavation methods also manufactures and trades HDPE pipes and underground utilities engineering projects in Malaysia and Singapore. It also serves the electricity and telecommunications end-user markets in Malaysia and Singapore. The company has three segments: Underground utilities engineering solutions, Manufacturing, and Others. Key revenue is generated from Underground utilities engineering solutions.
47GF Score
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