LTKM BhdXKLS:7085 -0.84%71 Operating Margin % is 7.74% as of Mar. 2026, which is 20% below its 10-year median of 9.64. GuruFocus rates XKLS:7085 with a GF Score™ of 71/100 and a GF Value™ of RM1.17 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,946 Consumer Packaged Goods companies, LTKM Bhd ranks better than 64.65% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. LTKM Bhd's Operating Income for the
three
months ended in Mar. 2026 was RM3.9 Mil. LTKM Bhd's Revenue for the
three
months ended in Mar. 2026 was RM51.0 Mil. Therefore, LTKM Bhd's Operating Margin % for the quarter that ended in Mar. 2026 was 7.74%.
The historical rank and industry rank for LTKM Bhd's Operating Margin % or its related term are showing as below:
XKLS:7085'
s Operating Margin % Range Over the Past 10 Years
Min: -8.37 Med: 9.64 Max: 22.16
Current: 8.1
XKLS:7085's Operating Margin % is ranked better than 64.65% of 1946
companies
in the Consumer Packaged Goods industry
Industry Median: 5.285
vs XKLS:7085: 8.10
LTKM Bhd's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
LTKM Bhd's Operating Income for the
three
months ended in Mar. 2026 was RM3.9 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was RM17.2 Mil.
LTKM Bhd (XKLS:7085) 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.
LTKM Bhd Operating Margin % Related Terms
LTKM Bhd Operating Margin % Historical Data
* Premium members only.
The historical data trend for LTKM 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:7085 vs ADM, BG, TSN: Operating Margin % Comparison
For the Farm Products subindustry, LTKM 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.
LTKM Bhd Operating Margin % vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, LTKM Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where LTKM 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.
LTKM Bhd's Operating Margin % for the fiscal year that ended in Mar. 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.
LTKM Bhd (XKLS:7085) has a Operating Margin % of 7.74% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on LTKM Bhd and its competitors. This is 20% below median its historical median of 9.64. According to the industry distribution chart, LTKM Bhd ranks #688 out of 1946 companies in the Consumer Packaged Goods industry, placing it in the top 35.4%.
Is LTKM Bhd's Operating Margin % too high?
LTKM Bhd's current Operating Margin % of 7.74% is 20% below median its 10-year median of 9.64. The Consumer Packaged Goods industry median Operating Margin % is 5.29. LTKM Bhd's value of 7.74% is 46.5% above this industry median. Based on the distribution chart, LTKM Bhd ranks #688 out of 1946 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, LTKM Bhd has a GF Score™ of 71/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does LTKM Bhd's Operating Margin % compare to ADM and BG?
According to the Consumer Packaged Goods industry distribution chart, LTKM Bhd ranks #688 out of 1946 companies for Operating Margin %. This puts LTKM Bhd in the upper half of its industry. The industry median Operating Margin % is 5.29. LTKM Bhd's value of 7.74% is 46.5% above this benchmark. While the company's 10-year median is 9.64 vs. the industry median of 5.29, LTKM 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 Consumer Packaged Goods company?
The median Operating Margin % among Consumer Packaged Goods companies is 5.29, based on 1,946 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. LTKM Bhd's current Operating Margin % of 7.74% is 46.5% 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 LTKM Bhd and its competitors. For the Consumer Packaged Goods industry, the median Operating Margin % is 5.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. LTKM Bhd's current Operating Margin % is 7.74%, which is 20% below median its own 10-year median of 9.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LTKM Bhd stock overvalued right now?
Based on GuruFocus' analysis, LTKM Bhd (XKLS:7085) is currently considered Fairly Valued. The stock's GF Value™ is RM1.17, compared to a current price of RM1.18 — trading 0.9% above its estimated fair value. The current Operating Margin % is 7.74%, which is 20% below median its 10-year median of 9.64 and 46.5% above the Consumer Packaged Goods industry median of 5.29. LTKM Bhd's overall GF Score™ is 71/100 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 LTKM Bhd (XKLS:7085), the current Operating Margin % is 7.74% 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 LTKM Bhd (XKLS:7085) Overvalued in 2026?
Based on GuruFocus' analysis, LTKM Bhd stock appears to be overvalued.
The current stock price of RM1.18 is trading 0.9% above its estimated GF Value™ of RM1.17.
GuruFocus considers LTKM Bhd to be Fairly Valued.
Key valuation signals for XKLS:7085:
Operating Margin %: 7.74% (20% below median its 10-year median of 9.64)
GF Value™: RM1.17 vs. price of RM1.18 (0.9% above fair value)
Industry Position: 46.5% above the Consumer Packaged Goods median (#688 of 1946)
No single metric tells the full story. See the XKLS:7085 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
LTKM Bhd is engaged in investment holding and provision of management services. The business operates in segments that include the Production and Sale of Poultry and Related Products; which produces and sells chicken eggs, chickens, and organic fertilizers, Extraction and Sale of Sand; which mines and sells sand, Investment Holding; which invests in quoted and unquoted securities, and Property Development; which develops residential and commercial properties. The Production and Sale of Poultry and Related Products segment generates maximum revenue for the company. The organization caters only to the Malaysian market.
71GF Score
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