Arun Valley Hydro Power Co (XNEP:AHPC) Operating Margin %: 58.45% (As of Jan. 2026) — 23% Above Median


XNEP:AHPC Arun Valley Hydro Power Co Ltd XNEP:AHPC
93 GF Score
Price NPR261.50
GF Value NPR322.29
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Arun Valley Hydro Power Co Operating Margin %?

Arun Valley Hydro Power Co XNEP:AHPC +0.54% 93 Operating Margin % is 58.45% as of Jan. 2026, which is 23% above its 10-year median of 47.38. GuruFocus rates XNEP:AHPC with a GF Score™ of 93/100 and a GF Value™ of NPR322.29 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 499 Utilities - Regulated companies, Arun Valley Hydro Power Co ranks better than 94.59% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Arun Valley Hydro Power Co's Operating Income for the three months ended in Jan. 2026 was NPR50.0 Mil. Arun Valley Hydro Power Co's Revenue for the three months ended in Jan. 2026 was NPR85.6 Mil. Therefore, Arun Valley Hydro Power Co's Operating Margin % for the quarter that ended in Jan. 2026 was 58.45%.

The historical rank and industry rank for Arun Valley Hydro Power Co's Operating Margin % or its related term are showing as below:

XNEP:AHPC' s Operating Margin % Range Over the Past 10 Years
Min: -29.33   Med: 47.38   Max: 196.42
Current: 44.3


XNEP:AHPC's Operating Margin % is ranked better than
94.59% of 499 companies
in the Utilities - Regulated industry
Industry Median: 14.85 vs XNEP:AHPC: 44.30

Arun Valley Hydro Power Co's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Arun Valley Hydro Power Co's Operating Income for the three months ended in Jan. 2026 was NPR50.0 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jan. 2026 was NPR135.8 Mil.


Arun Valley Hydro Power Co  (XNEP:AHPC) 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.


Arun Valley Hydro Power Co Operating Margin % Related Terms


Arun Valley Hydro Power Co Operating Margin % Historical Data

* Premium members only.

The historical data trend for Arun Valley Hydro Power Co'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.

Arun Valley Hydro Power Co Operating Margin % Chart

Arun Valley Hydro Power Co Annual Data
Trend Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24 Jul25
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 47.07 48.10 42.46 -29.33 35.20

Arun Valley Hydro Power Co Quarterly Data
Jul20 Apr21 Jul21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26
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 32.34 31.07 23.07 57.70 58.45

XNEP:AHPC vs NEE, SO, DUK: Operating Margin % Comparison

For the Utilities - Regulated Electric subindustry, Arun Valley Hydro Power Co'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.


Arun Valley Hydro Power Co Operating Margin % vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Arun Valley Hydro Power Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Arun Valley Hydro Power Co's Operating Margin % falls into.


XNEP:AHPC
93GF Score
Arun Valley Hydro Power Co Ltd XNEP:AHPC
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Arun Valley Hydro Power Co 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.

Arun Valley Hydro Power Co's Operating Margin % for the fiscal year that ended in Jul. 2025 is calculated as

Operating Margin %=Operating Income (A: Jul. 2025 ) / Revenue (A: Jul. 2025 )
=96.706 / 274.747
=35.20 %

Arun Valley Hydro Power Co's Operating Margin % for the quarter that ended in Jan. 2026 is calculated as

Operating Margin %=Operating Income (Q: Jan. 2026 ) / Revenue (Q: Jan. 2026 )
=50.008 / 85.554
=58.45 %

* 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 58.45% mean?
Arun Valley Hydro Power Co (XNEP:AHPC) has a Operating Margin % of 58.45% as of Jan. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Arun Valley Hydro Power Co and its competitors. This is 23% above median its historical median of 47.38. According to the industry distribution chart, Arun Valley Hydro Power Co ranks #27 out of 499 companies in the Utilities - Regulated industry, placing it in the top 5.4%.
Is Arun Valley Hydro Power Co's Operating Margin % too high?
Arun Valley Hydro Power Co's current Operating Margin % of 58.45% is 23% above median its 10-year median of 47.38. The Utilities - Regulated industry median Operating Margin % is 14.85. Arun Valley Hydro Power Co's value of 58.45% is 293.6% above this industry median. Based on the distribution chart, Arun Valley Hydro Power Co ranks #27 out of 499 companies in the Utilities - Regulated industry, which is in the top quartile — a strong position relative to peers. Overall, Arun Valley Hydro Power Co has a GF Score™ of 93/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arun Valley Hydro Power Co's Operating Margin % compare to NEE and SO?
According to the Utilities - Regulated industry distribution chart, Arun Valley Hydro Power Co ranks #27 out of 499 companies for Operating Margin %. This places Arun Valley Hydro Power Co in the top 5% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 14.85. Arun Valley Hydro Power Co's value of 58.45% is 293.6% above this benchmark. While the company's 10-year median is 47.38 vs. the industry median of 14.85, Arun Valley Hydro Power Co 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 an Utilities - Regulated company?
The median Operating Margin % among Utilities - Regulated companies is 14.85, based on 499 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. Arun Valley Hydro Power Co's current Operating Margin % of 58.45% is 293.6% 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 Arun Valley Hydro Power Co and its competitors. For the Utilities - Regulated industry, the median Operating Margin % is 14.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arun Valley Hydro Power Co's current Operating Margin % is 58.45%, which is 23% above median its own 10-year median of 47.38. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arun Valley Hydro Power Co stock overvalued right now?
Based on GuruFocus' analysis, Arun Valley Hydro Power Co (XNEP:AHPC) is currently considered Modestly Undervalued. The stock's GF Value™ is NPR322.29, compared to a current price of NPR261.50 — trading 18.9% below its estimated fair value. The current Operating Margin % is 58.45%, which is 23% above median its 10-year median of 47.38 and 293.6% above the Utilities - Regulated industry median of 14.85. Arun Valley Hydro Power Co's overall GF Score™ is 93/100 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 Arun Valley Hydro Power Co (XNEP:AHPC), the current Operating Margin % is 58.45% as of Jan. 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 Arun Valley Hydro Power Co (XNEP:AHPC) Overvalued in 2026?

Based on GuruFocus' analysis, Arun Valley Hydro Power Co stock appears to be undervalued. The current stock price of NPR261.50 is trading 18.9% below its estimated GF Value™ of NPR322.29. GuruFocus considers Arun Valley Hydro Power Co to be Modestly Undervalued.

Key valuation signals for XNEP:AHPC:

  • Operating Margin %: 58.45% (23% above median its 10-year median of 47.38)
  • GF Value™: NPR322.29 vs. price of NPR261.50 (18.9% below fair value)
  • GF Score™: 93/100 with 4 warning signs
  • Industry Position: 293.6% above the Utilities - Regulated median (#27 of 499)

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


Arun Valley Hydro Power Co Business Description

Address Trade Tower Nepal, 2nd Floor, Thapathali, Kathmandu, NPL
Arun Valley Hydro Power Co Ltd is a hydropower company. The company develops, builds, owns, and operates hydropower projects. Its projects include Pilowa Solar PV Project. The company is engaged in one segment, i.e. Generation and sale of electricity.
93GF Score

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

NPR261.50
Price
NPR322.29
GF Value