MGB BhdXKLS:7595 -1.16%66 Operating Margin % is 10.57% as of Mar. 2026, which is 58% above its 10-year median of 6.67. GuruFocus rates XKLS:7595 with a GF Score™ of 66/100 and a GF Value™ of RM0.75 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 1,767 Construction companies, MGB Bhd ranks better than 59.99% on this metric.
Operating Margin % is calculated as Operating Income divided by its Revenue. MGB Bhd's Operating Income for the
three
months ended in Mar. 2026 was RM22.2 Mil. MGB Bhd's Revenue for the
three
months ended in Mar. 2026 was RM210.1 Mil. Therefore, MGB Bhd's Operating Margin % for the quarter that ended in Mar. 2026 was 10.57%.
Good Sign:
MGB Bhd operating margin is expanding. Margin expansion is usually a good sign.
The historical rank and industry rank for MGB Bhd's Operating Margin % or its related term are showing as below:
XKLS:7595'
s Operating Margin % Range Over the Past 10 Years
Min: -4.08 Med: 6.67 Max: 8.16
Current: 7.71
XKLS:7595's Operating Margin % is ranked better than 59.99% of 1767
companies
in the Construction industry
Industry Median: 5.89
vs XKLS:7595: 7.71
MGB Bhd's 5-Year Average Operating Margin % Growth Rate was 7.70% per year.
MGB Bhd's Operating Income for the
three
months ended in Mar. 2026 was RM22.2 Mil.
Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was RM69.3 Mil.
MGB Bhd (XKLS:7595) 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.
MGB Bhd Operating Margin % Related Terms
MGB Bhd Operating Margin % Historical Data
* Premium members only.
The historical data trend for MGB 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:7595 vs PWR, FIX, EME: Operating Margin % Comparison
For the Engineering & Construction subindustry, MGB 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.
MGB Bhd Operating Margin % vs Construction Industry
For the Construction industry and Industrials sector, MGB Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where MGB 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.
MGB Bhd's Operating Margin % for the fiscal year that ended in Dec. 2025 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.
MGB Bhd (XKLS:7595) has a Operating Margin % of 10.57% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on MGB Bhd and its competitors. This is 58% above median its historical median of 6.67. According to the industry distribution chart, MGB Bhd ranks #707 out of 1767 companies in the Construction industry, placing it in the top 40%.
Is MGB Bhd's Operating Margin % too high?
MGB Bhd's current Operating Margin % of 10.57% is 58% above median its 10-year median of 6.67. The Construction industry median Operating Margin % is 5.89. MGB Bhd's value of 10.57% is 79.5% above this industry median. Based on the distribution chart, MGB Bhd ranks #707 out of 1767 companies in the Construction industry, which is above the industry midpoint. Overall, MGB Bhd has a GF Score™ of 66/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does MGB Bhd's Operating Margin % compare to PWR and FIX?
According to the Construction industry distribution chart, MGB Bhd ranks #707 out of 1767 companies for Operating Margin %. This puts MGB Bhd in the upper half of its industry. The industry median Operating Margin % is 5.89. MGB Bhd's value of 10.57% is 79.5% above this benchmark. While the company's 10-year median is 6.67 vs. the industry median of 5.89, MGB 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. MGB Bhd's current Operating Margin % of 10.57% is 79.5% 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 MGB 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. MGB Bhd's current Operating Margin % is 10.57%, which is 58% above median its own 10-year median of 6.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MGB Bhd stock overvalued right now?
Based on GuruFocus' analysis, MGB Bhd (XKLS:7595) is currently considered Significantly Undervalued. The stock's GF Value™ is RM0.75, compared to a current price of RM0.43 — trading 43.3% below its estimated fair value. The current Operating Margin % is 10.57%, which is 58% above median its 10-year median of 6.67 and 79.5% above the Construction industry median of 5.89. MGB Bhd's overall GF Score™ is 66/100 with 2 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 MGB Bhd (XKLS:7595), the current Operating Margin % is 10.57% 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 MGB Bhd (XKLS:7595) Overvalued in 2026?
Based on GuruFocus' analysis, MGB Bhd stock appears to be undervalued.
The current stock price of RM0.43 is trading 43.3% below its estimated GF Value™ of RM0.75.
GuruFocus considers MGB Bhd to be Significantly Undervalued.
Key valuation signals for XKLS:7595:
Operating Margin %: 10.57% (58% above median its 10-year median of 6.67)
GF Value™: RM0.75 vs. price of RM0.43 (43.3% below fair value)
Industry Position: 79.5% above the Construction median (#707 of 1767)
No single metric tells the full story. See the XKLS:7595 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
MGB Bhd is engaged in investment holding activities and provision of management services. The principal activities of the subsidiaries are mainly civil engineering, design and build, general construction activities, trading of construction materials , property development, manufacture, supply and installation of steel related building materials, construction of reservoir and water treatment and operation of generation facilities that produce electric energy. Its segments include Construction and trading, Property development, and Others. It derives revenue from Construction and trading segment that designs and builds, civil engineering, general construction, piling activities, trading of construction materials and manufacturing of Industrialised Building System precast products.
66GF Score
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Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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