Hexza Bhd (XKLS:3298) Operating Margin %: 5.26% (As of Mar. 2026) — 52% Below Median


XKLS:3298 Hexza Corp Bhd XKLS:3298
70 GF Score
Price RM0.92
GF Value RM1.05
Valuation Modestly Undervalued
! 9 Warning Signs
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What is Hexza Bhd Operating Margin %?

Hexza Bhd XKLS:3298 70 Operating Margin % is 5.26% as of Mar. 2026, which is 52% below its 10-year median of 10.88. GuruFocus rates XKLS:3298 with a GF Score™ of 70/100 and a GF Value™ of RM1.05 (Modestly Undervalued). The stock has 9 warning signs investors should review. Among 1,574 Chemicals companies, Hexza Bhd ranks worse than 60.61% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Hexza Bhd's Operating Income for the three months ended in Mar. 2026 was RM0.87 Mil. Hexza Bhd's Revenue for the three months ended in Mar. 2026 was RM16.52 Mil. Therefore, Hexza Bhd's Operating Margin % for the quarter that ended in Mar. 2026 was 5.26%.

Warning Sign:

Hexza Corp Bhd operating margin has been in a 5-year decline. The average rate of decline per year is -28%.

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

XKLS:3298' s Operating Margin % Range Over the Past 10 Years
Min: 2.29   Med: 10.88   Max: 17.93
Current: 3.98


XKLS:3298's Operating Margin % is ranked worse than
60.61% of 1574 companies
in the Chemicals industry
Industry Median: 6.025 vs XKLS:3298: 3.98

Hexza Bhd's 5-Year Average Operating Margin % Growth Rate was -28.00% per year.

Hexza Bhd's Operating Income for the three months ended in Mar. 2026 was RM0.87 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was RM2.71 Mil.

Warning Sign:

Hexza Corp Bhd has recorded a loss in operating income at least once over the past 3 years.


Hexza Bhd  (XKLS:3298) 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.


Hexza Bhd Operating Margin % Related Terms


Hexza Bhd Operating Margin % Historical Data

* Premium members only.

The historical data trend for Hexza 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.

Hexza Bhd Operating Margin % Chart

Hexza Bhd Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 16.26 8.10 8.28 10.80 2.29

Hexza Bhd 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 -9.04 -6.15 3.81 9.82 5.26

XKLS:3298 vs LIN, SHW, ECL: Operating Margin % Comparison

For the Specialty Chemicals subindustry, Hexza 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.


Hexza Bhd Operating Margin % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Hexza Bhd's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Hexza Bhd's Operating Margin % falls into.


XKLS:3298
70GF Score
Hexza Corp Bhd XKLS:3298
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Hexza 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.

Hexza Bhd's Operating Margin % for the fiscal year that ended in Jun. 2025 is calculated as

Operating Margin %=Operating Income (A: Jun. 2025 ) / Revenue (A: Jun. 2025 )
=1.356 / 59.28
=2.29 %

Hexza Bhd'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 )
=0.869 / 16.515
=5.26 %

* 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 5.26% mean?
Hexza Bhd (XKLS:3298) has a Operating Margin % of 5.26% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Hexza Bhd and its competitors. This is 52% below median its historical median of 10.88. Over the past decade, Hexza Bhd's Operating Margin % has ranged from 2.29 to 17.93. According to the industry distribution chart, Hexza Bhd ranks #954 out of 1574 companies in the Chemicals industry, placing it in the top 60.6%.
Is Hexza Bhd's Operating Margin % too high?
Hexza Bhd's current Operating Margin % of 5.26% is 52% below median its 10-year median of 10.88. Over the past 10 years, this metric has ranged from a low of 2.29 to a high of 17.93. The Chemicals industry median Operating Margin % is 6.03. Hexza Bhd's value of 5.26% is 12.7% below this industry median. Based on the distribution chart, Hexza Bhd ranks #954 out of 1574 companies in the Chemicals industry, which is below the industry midpoint. Overall, Hexza Bhd has a GF Score™ of 70/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Hexza Bhd's Operating Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Hexza Bhd ranks #954 out of 1574 companies for Operating Margin %. This places Hexza Bhd in the lower half of its industry. The industry median Operating Margin % is 6.03. Hexza Bhd's value of 5.26% is 12.7% below this benchmark. Historically, Hexza Bhd's own Operating Margin % has ranged from 2.29 to 17.93 over the past decade. While the company's 10-year median is 10.88 vs. the industry median of 6.03, Hexza Bhd 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 Chemicals company?
The median Operating Margin % among Chemicals companies is 6.03, based on 1,574 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. Hexza Bhd's current Operating Margin % of 5.26% is 12.7% 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 Hexza Bhd and its competitors. For the Chemicals industry, the median Operating Margin % is 6.03 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hexza Bhd's current Operating Margin % is 5.26%, which is 52% below median its own 10-year median of 10.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hexza Bhd stock overvalued right now?
Based on GuruFocus' analysis, Hexza Bhd (XKLS:3298) is currently considered Modestly Undervalued. The stock's GF Value™ is RM1.05, compared to a current price of RM0.92 — trading 12.4% below its estimated fair value. The current Operating Margin % is 5.26%, which is 52% below median its 10-year median of 10.88 and 12.7% below the Chemicals industry median of 6.03. Hexza Bhd's overall GF Score™ is 70/100 with 9 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 Hexza Bhd (XKLS:3298), the current Operating Margin % is 5.26% 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 Hexza Bhd (XKLS:3298) Overvalued in 2026?

Based on GuruFocus' analysis, Hexza Bhd stock appears to be undervalued. The current stock price of RM0.92 is trading 12.4% below its estimated GF Value™ of RM1.05. GuruFocus considers Hexza Bhd to be Modestly Undervalued.

Key valuation signals for XKLS:3298:

  • Operating Margin %: 5.26% (52% below median its 10-year median of 10.88)
  • GF Value™: RM1.05 vs. price of RM0.92 (12.4% below fair value)
  • GF Score™: 70/100 with 9 warning signs
  • Industry Position: 12.7% below the Chemicals median (#954 of 1574)

No single metric tells the full story. See the XKLS:3298 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hexza Bhd Business Description

Address Lot 6 and 20, Persiaran Tasek, Kawasan Perindustrian Tasek, Ipoh, PRK, MYS, 31400
Hexza Corp Bhd is a Malaysian-based investment holding firm. The company's operating segments include Investment Holding, Resins, Ethanol, Trading, and Others. It generates maximum revenue from the Resin segment. The Resins segment includes the manufacture and sale of formaldehyde-based adhesive resins and glue for wood-related industries. Its Ethanol segment is engaged in the manufacture and sale of ethyl alcohol, liquefied carbon dioxide, and kaoliang wine.
70GF Score

Get the complete analysis for XKLS:3298

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

RM0.92
Price
RM1.05
GF Value