KKB Engineering BhdXKLS:9466 58 Operating Margin % is -25.85% as of Mar. 2026. GuruFocus rates XKLS:9466 with a GF Score™ of 58/100 and a GF Value™ of RM0.62 (Significantly Overvalued). The stock has 11 warning signs investors should review. Among 3,026 Industrial Products companies, KKB Engineering Bhd ranks worse than 73.86% on this metric.
KKB Engineering Bhd operating margin has been in a 5-year decline. The average rate of decline per year is -8.5%.
The historical rank and industry rank for KKB Engineering Bhd's Operating Margin % or its related term are showing as below:
XKLS:9466'
s Operating Margin % Range Over the Past 10 Years
Min: -14.35 Med: 7.57 Max: 12.72
Current: 1.16
XKLS:9466's Operating Margin % is ranked worse than 73.86% of 3026
companies
in the Industrial Products industry
Industry Median: 6.53
vs XKLS:9466: 1.16
KKB Engineering Bhd's 5-Year Average Operating Margin % Growth Rate was -8.50% per year.
KKB Engineering Bhd (XKLS:9466) 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.
KKB Engineering Bhd Operating Margin % Related Terms
KKB Engineering Bhd Operating Margin % Historical Data
* Premium members only.
The historical data trend for KKB Engineering 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:9466 vs CRS, ATI, MLI: Operating Margin % Comparison
For the Metal Fabrication subindustry, KKB Engineering 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.
KKB Engineering Bhd Operating Margin % vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, KKB Engineering Bhd's Operating Margin % distribution charts can be found below:
* The bar in red indicates where KKB Engineering Bhd's Operating Margin % falls into.
KKB Engineering 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.
KKB Engineering 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.
KKB Engineering Bhd (XKLS:9466) has a Operating Margin % of -25.85% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on KKB Engineering Bhd and its competitors. According to the industry distribution chart, KKB Engineering Bhd ranks #2235 out of 3026 companies in the Industrial Products industry, placing it in the top 73.9%.
Is KKB Engineering Bhd's Operating Margin % too high?
KKB Engineering Bhd's current Operating Margin % is -25.85%. Based on the distribution chart, KKB Engineering Bhd ranks #2235 out of 3026 companies in the Industrial Products industry, which is below the industry midpoint. Overall, KKB Engineering Bhd has a GF Score™ of 58/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does KKB Engineering Bhd's Operating Margin % compare to CRS and ATI?
According to the Industrial Products industry distribution chart, KKB Engineering Bhd ranks #2235 out of 3026 companies for Operating Margin %. This places KKB Engineering Bhd in the lower half of its industry. The industry median Operating Margin % is 6.53. 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 an Industrial Products company?
The median Operating Margin % among Industrial Products companies is 6.53, based on 3,026 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 KKB Engineering Bhd and its competitors. For the Industrial Products industry, the median Operating Margin % is 6.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. KKB Engineering Bhd's current Operating Margin % is -25.85%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is KKB Engineering Bhd stock overvalued right now?
Based on GuruFocus' analysis, KKB Engineering Bhd (XKLS:9466) is currently considered Significantly Overvalued. The stock's GF Value™ is RM0.62, compared to a current price of RM1.26 — trading 103.2% above its estimated fair value. The current Operating Margin % is -25.85%. KKB Engineering Bhd's overall GF Score™ is 58/100 with 11 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 KKB Engineering Bhd (XKLS:9466), the current Operating Margin % is -25.85% 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 KKB Engineering Bhd (XKLS:9466) Overvalued in 2026?
Based on GuruFocus' analysis, KKB Engineering Bhd stock appears to be overvalued.
The current stock price of RM1.26 is trading 103.2% above its estimated GF Value™ of RM0.62.
GuruFocus considers KKB Engineering Bhd to be Significantly Overvalued.
Key valuation signals for XKLS:9466:
Operating Margin %: -25.85%
GF Value™: RM0.62 vs. price of RM1.26 (103.2% above fair value)
No single metric tells the full story. See the XKLS:9466 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
KKB Engineering Bhd is a Malaysia-based company engaged in steel fabrication; civil construction; hot-dip galvanizing; the manufacturing of liquefied petroleum gas (LPG) cylinders; structural steel fabrication for oil & gas facilities; and manufacturing and trading of steel pipes and pipe specials. The company operates through two segments namely Engineering and construction; and the Manufacturing sectors. The Engineering segment includes civil engineering works and construction, steel fabrication, and hot-dip galvanizing. The Manufacturing segment manufactures LPG cylinders, steel pipes, and related products. The company generates a vast majority of its revenue from the engineering and construction segment.
58GF Score
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