Butwal Power Co (XNEP:BPCL) Operating Margin %: 73.21% (As of Jan. 2026) — 496% Above Median

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XNEP:BPCL Butwal Power Co Ltd XNEP:BPCL
85 GF Score
Price NPR673.00
GF Value NPR725.85
Valuation Fairly Valued
! 2 Warning Signs
View Full Analysis

What is Butwal Power Co Operating Margin %?

Butwal Power Co XNEP:BPCL -0.30% 85 Operating Margin % is 73.21% as of Jan. 2026, which is 496% above its 10-year median of 12.29. GuruFocus rates XNEP:BPCL with a GF Score™ of 85/100 and a GF Value™ of NPR725.85 (Fairly Valued). The stock has 2 warning signs investors should review. Among 421 Utilities - Independent Power Producers companies, Butwal Power Co ranks better than 54.87% on this metric.

Operating Margin % is calculated as Operating Income divided by its Revenue. Butwal Power Co's Operating Income for the three months ended in Jan. 2026 was NPR163 Mil. Butwal Power Co's Revenue for the three months ended in Jan. 2026 was NPR223 Mil. Therefore, Butwal Power Co's Operating Margin % for the quarter that ended in Jan. 2026 was 73.21%.

Good Sign:

Butwal Power Co Ltd operating margin is expanding. Margin expansion is usually a good sign.

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

XNEP:BPCL' s Operating Margin % Range Over the Past 10 Years
Min: 3.37   Med: 12.29   Max: 20.44
Current: 16.06


XNEP:BPCL's Operating Margin % is ranked better than
54.87% of 421 companies
in the Utilities - Independent Power Producers industry
Industry Median: 13.47 vs XNEP:BPCL: 16.06

Butwal Power Co's 5-Year Average Operating Margin % Growth Rate was 16.90% per year.

Butwal Power Co's Operating Income for the three months ended in Jan. 2026 was NPR163 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jan. 2026 was NPR793 Mil.


Butwal Power Co  (XNEP:BPCL) 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.


Butwal Power Co Operating Margin % Related Terms


Butwal Power Co Operating Margin % Historical Data

* Premium members only.

The historical data trend for Butwal 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.

Butwal Power Co Operating Margin % Chart

Butwal 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 3.88 11.21 3.37 16.39 13.36

Butwal Power Co Quarterly Data
Apr21 Jul21 Oct21 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 76.15 16.32 11.14 47.68 73.21

Butwal Power Co Operating Margin % Competitor Comparison

For the Utilities - Renewable subindustry, Butwal 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.


Butwal Power Co Operating Margin % vs Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, Butwal Power Co's Operating Margin % distribution charts can be found below:

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


XNEP:BPCL
85GF Score
Butwal Power Co Ltd XNEP:BPCL
Operating Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Butwal 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.

Butwal 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 )
=629.813 / 4715.187
=13.36 %

Butwal 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 )
=163.138 / 222.83
=73.21 %

* 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 73.21% mean?
Butwal Power Co (XNEP:BPCL) has a Operating Margin % of 73.21% as of Jan. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Butwal Power Co and its competitors. This is 496% above median its historical median of 12.29. Over the past decade, Butwal Power Co's Operating Margin % has ranged from 3.37 to 20.44. According to the industry distribution chart, Butwal Power Co ranks #190 out of 421 companies in the Utilities - Independent Power Producers industry, placing it in the top 45.1%.
Is Butwal Power Co's Operating Margin % too high?
Butwal Power Co's current Operating Margin % of 73.21% is 496% above median its 10-year median of 12.29. Over the past 10 years, this metric has ranged from a low of 3.37 to a high of 20.44. The Utilities - Independent Power Producers industry median Operating Margin % is 13.47. Butwal Power Co's value of 73.21% is 443.5% above this industry median. Based on the distribution chart, Butwal Power Co ranks #190 out of 421 companies in the Utilities - Independent Power Producers industry, which is above the industry midpoint. Overall, Butwal Power Co has a GF Score™ of 85/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Butwal Power Co's Operating Margin % compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Butwal Power Co ranks #190 out of 421 companies for Operating Margin %. This puts Butwal Power Co in the upper half of its industry. The industry median Operating Margin % is 13.47. Butwal Power Co's value of 73.21% is 443.5% above this benchmark. Historically, Butwal Power Co's own Operating Margin % has ranged from 3.37 to 20.44 over the past decade. While the company's 10-year median is 12.29 vs. the industry median of 13.47, Butwal 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 - Independent Power Producers company?
The median Operating Margin % among Utilities - Independent Power Producers companies is 13.47, based on 421 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. Butwal Power Co's current Operating Margin % of 73.21% is 443.5% 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 Butwal Power Co and its competitors. For the Utilities - Independent Power Producers industry, the median Operating Margin % is 13.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Butwal Power Co's current Operating Margin % is 73.21%, which is 496% above median its own 10-year median of 12.29. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Butwal Power Co stock overvalued right now?
Based on GuruFocus' analysis, Butwal Power Co (XNEP:BPCL) is currently considered Fairly Valued. The stock's GF Value™ is NPR725.85, compared to a current price of NPR673.00 — trading 7.3% below its estimated fair value. The current Operating Margin % is 73.21%, which is 496% above median its 10-year median of 12.29 and 443.5% above the Utilities - Independent Power Producers industry median of 13.47. Butwal Power Co's overall GF Score™ is 85/100 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 Butwal Power Co (XNEP:BPCL), the current Operating Margin % is 73.21% 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 Butwal Power Co (XNEP:BPCL) Overvalued in 2026?

Based on GuruFocus' analysis, Butwal Power Co stock appears to be undervalued. The current stock price of NPR673.00 is trading 7.3% below its estimated GF Value™ of NPR725.85. GuruFocus considers Butwal Power Co to be Fairly Valued.

Key valuation signals for XNEP:BPCL:

  • Operating Margin %: 73.21% (496% above median its 10-year median of 12.29)
  • GF Value™: NPR725.85 vs. price of NPR673.00 (7.3% below fair value)
  • GF Score™: 85/100 with 2 warning signs
  • Industry Position: 443.5% above the Utilities - Independent Power Producers median (#190 of 421)

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


Butwal Power Co Business Description

Address Gangadevi Marga - 313, P.O. Box: 11728, Buddha Nagar, Kathmandu, NPL
Butwal Power Co Ltd is engaged in generation and distribution of electricity. The company is engaged in the development, operation, and maintenance of hydropower plants, engineering and design consultancy of hydropower and infrastructure projects, and manufacturing and repair of hydro-mechanical and electro-mechanical equipment for power plants through its subsidiary companies.
85GF Score

Get the complete analysis for XNEP:BPCL

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

NPR673.00
Price
NPR725.85
GF Value